Washington Voters Face Initiative to Repeal Income Tax

A new ballot measure seeks to eliminate the state income tax on earnings over $1 million.

Updated on Oct. 28, 2026 in Taxes

Bold flat-color editorial illustration featuring a stylized stone building facade and evergreen branch, representing Washington state tax policy debate. — Washington voters are casting ballots on Initiative 645, which seeks to repeal a 2026 state income tax law impacting high-earner thresholds. AI Illustration. Upload story photo >

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Should government income tax laws include guaranteed, permanent protections for all public sector retirement benefits?

Washington residents are voting on Initiative 645, a measure aimed at repealing the state income tax law passed in 2026. The legislation previously removed protections that shielded first responder retirement benefits from taxation.

Why it matters

The removal of these protections has sparked concerns that lawmakers intend to lower the current $1 million income threshold in future legislative sessions. Critics argue this could lead to broader tax impacts on income levels as low as $250,000.

The current tax applies to annual income exceeding $1 million. Lawmakers have discussed potential future reductions to the tax threshold, with figures as low as $250,000 and $750,000 suggested in legislative debates.

The players

Tim Manley

A fire chief and paramedic with approximately 45 years of service who is campaigning against the new tax law.

Cindy Ryu

A representative in the state legislature who has participated in discussions regarding potential income tax threshold adjustments.

Jesse Salomon

A state senator who has engaged in legislative discourse regarding the possibility of lowering the income tax threshold.

The details

The controversy centers on a specific provision in the 2026 tax law that stripped previous exemptions for first responder retirement funds. While proponents claim current thresholds protect most responders, opponents argue the move signals a shift toward taxing middle-income earners.

The Washington income tax law was passed in 2026.
Tim Manley began his career as a fire cadet in the early 1980s.
This report on Initiative 645 was published on October 28, 2026.

Market Dynamics

The controversy surrounding the Washington state income tax law of 2026 reflects broader debates over state-level wealth taxation and fiscal sustainability. This ballot measure marks a direct challenge to the state's legislative trajectory and the ongoing effort to balance public revenue needs.

The outcome of Initiative 645 will determine if current tax protections for retirement benefits are restored for high-earning professionals. Residents should monitor potential adjustments to income tax thresholds that could impact personal financial planning and future tax obligations.

The takeaway

Voters are currently weighing the balance between state revenue goals and the security of retirement benefits for long-serving first responders. The result will set the precedent for whether the legislature maintains the $1 million threshold or pursues lower tax brackets in future years.