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Ericksen wants to lay to
rest state’s death tax
Rep. Doug Ericksen,
R-Ferndale, voted for a motion Tuesday for a House floor vote on a
measure that would repeal Washington’s one-year-old death tax.
House Democrats, who created the death tax in 2005, rejected the motion
on a 45-53 vote.
“This tax is picking the pockets of small businesses and families in
their greatest times of need. These families work hard to build
businesses, create jobs in their communities, and the state taxes their
income, sales, and assets every step of the way. It doesn’t make sense
to tax them yet again through the death tax,” said Ericksen. “All you
have to do is look at the numbers to see this is one of the most
punishing taxes in the nation. What does this say to small businesses
who are here – or who want to relocate to Washington? It’s not very
hospitable or inviting.”
In 1981 Washington voters passed Initiative 402, which specified the
state could collect only a “pick-up tax” for estates by taking a portion
of the federal estate tax due.
In 2002 the federal government began a 10-year phase-out of the death
tax, but Washington’s law was not updated to reflect the change. The
state improperly collected a death tax from 2002 until the state Supreme
Court threw it out in early 2005.
Within a month, the Legislature’s majority party created a new death tax
so it could increase state spending by 12.4 percent.
“It’s time we in the Legislature act on the intent voters expressed when
they determined this tax policy 25 years ago,” said Ericksen. “We have
proposed legislation that would do this, but it hasn’t been allowed a
vote or even a hearing.”
Washington’s death tax applies to all nonfarm estates valued at over $2
million.
Eliminating the death tax is part of the Republican legislative agenda,
known as the Commitment to Washington.
The legislative session began on January 9 and is scheduled to run 60
days.
For more information on Ericksen, visit: www.houserepublicans.wa.gov/ericksen.
# # #
For more information, contact:
John
Handy, Assistant Director: (360) 786-5758
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