Tag Archives: raising taxes

Sen. Matt Boehnke, R-Kennewick/Credit: Washington State Senate

Boehnke blasts majority party’s triple-tax package: ‘Wrong direction for Washington’

Sen. Matt Boehnke, R-Kennewick/Credit: Washington State Senate

OLYMPIA… In a stark rebuke of the majority party’s latest tax agenda, Sen. Matt Boehnke today issued a statement following the Senate’s passage of three major tax bills—Senate Bill 5813, Senate Bill 5814, and Senate Bill 5794—all of which impose new or expanded tax burdens on Washington residents and businesses.

“At a time when families are facing higher costs on everything from groceries to gas, the majority party is doubling down on a tax-and-spend agenda that punishes work, savings, and innovation,” Boehnke said. “These bills do not reflect the values or priorities of Washingtonians. They reflect a government addicted to spending.”

SB 5813 would impose a 2.9% surcharge on capital gains over $1 million, on top of the existing 7% tax, and raise the estate-tax rate for estates exceeding $12 million to a staggering 35%, from the current 20%.

SB 5814 would expand the state sales tax to professional and digital services, targeting industries like IT, staffing, security systems, and digital advertising; it also includes a budget maneuver requiring large businesses to prepay taxes a month in advance to paper over a shortfall.

Nearly 97% of the residents who weighed in on SB 5814 opposed the bill – which Democrats framed as a “modernization” of the tax code – citing concerns over increased consumer costs, hidden taxes on services, and regressive impacts on middle-class families.

SB 5794 would eliminate over 60 tax preferences—some longstanding and critical to regional industries—and impose new taxes on aircraft and storage units, while selectively expanding incentives only in certain areas.

Boehnke, R-Kennewick, issued the additional statements following the Senate’s vote:

“SB 5813 sends a loud message to job creators and entrepreneurs: Washington doesn’t want you here. By pushing our capital gains and estate taxes to among the highest in the nation, we risk driving away the very people who invest in our economy, start businesses, and create jobs.”

“SB 5814 is a masterclass in how to hurt the economy while pretending to fix the budget. This bill taxes innovation, penalizes workers, and uses accounting gimmicks to fund unsustainable spending. It’s the wrong solution at the worst time.

“Let’s be clear: SB 5794 is not a cleanup bill—it’s a sweep. Instead of reforming tax preferences with care and accountability, this bill wipes out incentives that have supported jobs, economic development, and regional competitiveness for decades. The elimination of a preferred tax rate is, by definition, a tax hike.

“These bills aren’t about fairness—they’re about funding runaway spending on the backs of working Washingtonians. There is a better way to budget, starting with respecting taxpayers and restoring fiscal discipline.”

The 105-day legislative session is on its 97th day and will conclude on April 27.

 

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Sen. Matt Boehnke, R-Kennewick/Credit: Washington State Senate

Public hearings on five new tax bills this Wednesday

Sen. Matt Boehnke, R-Kennewick/Credit: Washington State Senate

OLYMPIA… Before the 2025 legislative session concludes in 12 days, lawmakers must adopt three new state budgets – the largest being the operating budget, which funds most state agencies and the services they provide.

Our state does have a budget gap caused by chronic overspending, but Senate Republicans have proposed a plan to close it. Using the $5 billion in additional revenue that is expected, and a combination of savings and efficiencies, we can fund the priorities Washingtonians share, boost K-12 funding by billions, protect the state’s rainy-day fund, and avoid cutting services, all without a single tax increase. The “$ave Washington” plan is Senate Bill 5810 (more detail is available here).

The Senate’s majority Democrats are treating the budget gap as an excuse to raise your taxes. In late March they proposed over $21 BILLION in new taxes, and just in time for today – Tax Day in America – they introduced five more tax bills, totaling an estimated $12 BILLION.

Again, legislators aren’t facing a revenue shortage — the problem is runaway spending. It’s legislative negligence, not fiscal responsibility, for Democrats to propose tax hikes even though another $5 billion is expected to come in, without any change in the tax code. Washington families are already struggling with inflation, rising housing costs, and higher energy bills. The last thing they need is a heavier tax burden.

The five new tax bills will be heard in the Senate Ways and Means Committee meeting at 5:30 p.m., tomorrow, in Senate Hearing Room 4 in the John A. Cherberg Building on the Capitol Campus in Olympia.

Here’s my take on what each of the new tax bills means. Keep reading for how you can let the committee know your opinions about them.

SB 5815 – B&O Tax Expansion

This bill tells job creators, “Thanks for investing in Washington — now here’s your punishment.” It’s anti-growth, anti-innovation, and out of touch with the realities of running a business in this state.

SB 5814 – Sales Tax Expansion

All session long we’ve heard the majority talk about making the wealthy pay more. But as they say, talk is cheap, because increasing the sales tax on certain services has the opposite effect – it’s harder on lower- and middle-income families.

SB 5813 – Capital Gains & Estate Tax Hikes

When the tax on capital-gains income was imposed by Democrats in 2021, Republicans warned that it would eventually fail to generate the desired amount of money – and then the majority would look to expand the tax. Sure enough, that day has arrived, and Democrats want to increase the tax by 40% on an upper level of capital gains.

SB 5812 – Property Tax Increases

Tripling the cap on the annual growth rate of property taxes wouldn’t just go against the will of the people who set the cap at 1%; doing so when Washington already has a shortage of affordable housing would really squeeze families, seniors, and renters. The truth is, governments can already exceed the cap – they just need voter approval, but their lives would be easier if Democrats change the law.

SB 5811 – EV Credit Tax

The majority seems to have a love-hate relationship with electric vehicles. You can get a credit from the state for buying an EV, but at the same time EVs are blamed for a drop off in the gas-tax revenue that helps fund highway maintenance and construction. This takes the anger in a different direction, because it appears Tesla would be the only automaker hit by this bill.

How can you make your views known?

Visit this link and choose a bill to open the “select type of testimony” options. The simplest option is to have your position “noted for the legislative record” – meaning PRO or CON.

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VIDEO—Sen Matt Boehnke addresses concerns over proposed Democrat tax increases, highlighting their impact on technology, higher education & manufacturing. He urges citizens to oppose these measures to protect businesses and innovation #waleg

WATCH | YOUTUBE