Washington governor signs $9 billion in tax hikes to cut deficit

May 21, 2025, 6:31 PM UTC

WASHINGTON’S EXPECTING A $9 BILLION boost in tax collections after Gov. Gov. Bob Ferguson (D) signed a package of tax bills Tuesday that increase in the state’s largest tax programs.

  • The bills include hikes in the business and occupation, capital gains, and sales taxes to help close a deficit estimated at $16 billion over the next four years. There’s also a new excise tax on the pooling, banking, or sale of zero-emission vehicle credits—a measure aimed at Tesla. The tax plan is part of the state’s overall budget for the next two years, which Ferguson (D) also signed Tuesday.
  • Ferguson ...

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