First lawsuit filed over Washington’s millionaires tax
A lawsuit has been filed challenging Washington state's new millionaires tax, alleging unconstitutional actions by the Secretary of State.Summary
A lawsuit has been filed by the conservative PAC Let’s Go Washington against the state of Washington, challenging the recently enacted 'millionaires tax'. The suit alleges that Secretary of State Steve Hobbs improperly rejected a referendum to repeal the tax, citing a manipulated interpretation of the state Constitution’s 'necessity clause'. Let's Go Washington argues the state added the phrase “or for” to a constitutional clause, expanding the grounds for exemption and effectively blocking a voter referendum. The Secretary of State’s Office defends its interpretation, citing decades of Washington State Supreme Court precedent.
Founder Brian Heywood claims the tax is already causing wealth to leave the state and will ultimately impact more than just millionaires, affecting farmers and small business owners. Supporters of the tax maintain it will only affect less than 0.5% of Washingtonians and will generate over $3 billion annually to benefit average citizens and small businesses.
In addition to the lawsuit, Let's Go Washington plans to pursue a ballot initiative to challenge the law, requiring a larger number of signatures than a referendum. The legal battle is ongoing, with further challenges expected, as Governor Ferguson and Democratic colleagues celebrate the tax as a historic step towards a more equitable tax system.
(Source：Headtopics)