April 1, 2019
Capital gains tax proposal is a reckless approach to state budgeting
That was the message from Clay Hill, AWB's government affairs director for tax and fiscal policy, when he appeared on TVW's program The Impact.
Hill joined Misha Werschkul, executive director of the Washington State Budget & Policy Center, and host Mike McClanahan for a discussion of the state budget that House Democrats proposed last week.
The budget relies on new and higher taxes, including a 9.9 percent capital gains, increased business and occupation taxes for some service businesses and higher real estate excise taxes.
If approved, the capital gains tax proposal would take Washington from zero to third-highest in the nation, Hill notes.
"It's extraordinarily reckless to build a budget that books revenue from a capital gains tax," Hill said, noting not only that it's unconstitutional but also extremely volatile. Watch the full episode of The Impact online at TVW, or check out this clip from the program: