October 14, 2019
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Spokane measure would ban local income tax

The economic development group Better Spokane is supporting a measure that would ban local income taxes in the city, The Spokesman-Review reports.

Local voters will have a chance to approve or deny Proposition 2, which would ban income taxes as part of the city charter, reporter Kip Hill explains.

Supporter Michael Cathcart, who’s also running for City Council, “said the measure is important as a business recruitment tool for the city, given the possibility that a higher court ruling could turn in Seattle’s favor and allow a local earnings tax to take effect,” the newspaper wrote.

Seattle’s local income tax measure is under judicial review now.

Supporters of the ban in Spokane say it could be a business recruitment tool. Cathcart, in his interview with the newspaper, explained the message it would send.

“Please, come to Spokane,” he said. “Bring your great-paying, living-wage jobs to Spokane. We want those jobs here.”

Hill also wrote that a local income tax in Spokane is unlikely anyway, given voter opposition. He also noted that Washington voters have rejected a state income tax 11 times since 1932.

Washington is one of seven states that does not impose an individual income tax, The Tax Foundation reports.

For more information on tax issues, please contact AWB’s Gary Chandler at GaryC@awb.org, or 360.943.1600.

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