Former Washington Gov. Jay Inslee has officially thrown his support behind the so-called “millionaires tax.”
Inslee, a Democrat, is the only living former governor to offer a full-throated endorsement of the tax, which passed earlier this year. The measure faces a ballot recall in November and a lawsuit over its constitutionality next year.
Two former Democratic governors, Christine Gregoire and Gary Locke, have stopped short of supporting the measure, instead expressing skepticism about lawmakers’ tax-and-spend priorities in Olympia.
Inslee, who served as governor from 2013 to 2025, called the law an “important step” to right the state’s regressive tax code.
“I would have proudly signed the Millionaires Tax if it had come to my desk as governor, and I support Governor Ferguson and the legislature continuing to reform the upside down tax code so that we can keep essential services and reduce the tax burden on low- and middle-income households,” Inslee wrote.
The measure, which takes effect in 2029, would levy a 9.9% tax on incomes over $1 million. It’s expected to bring in about $3 billion in revenue annually, much of which would go toward funding education, tax breaks for low income families, and sales tax breaks on hygiene products and diapers.
In May, at a gathering of business leaders in the state, Gregoire noted that the state budget had ballooned in size since she left office in 2013, and she criticized Gov. Bob Ferguson and state Democrats for continuing to rely on new taxes rather than try to cut spending.
Earlier this month, Locke, who served as governor from 1997 to 2005, said in an interview with KOMO News that he wasn’t sure the new tax would be enough to close current budget gaps and questioned if Democrats could truly make good on their promises on what they say the tax will help to cover.
“The question is what will Olympia do with that money if the voters say yes?” Locke asked.
Voters will have a chance this fall to weigh in on whether to keep or kill the tax. Wealthy hedge fund manager Brian Heywood is backing that ballot initiative. Heywood has expressed concern over the tax eventually expanding to all income levels, not just millionaires.
“Every wage earner and voter knows they have a target on their back, and this income tax is coming for all of us,” Heywood said in a statement calling for a repeal of the tax a few weeks ago.
The law also faces a court battle over whether it violates the state constitution. Almost 100 years ago, the state Supreme Court ruled that graduated income taxes were unconstitutional in Washington, and a lawsuit to revisit that question is making its way through the legal system. The case could land before the state Supreme Court sometime next year.
