Washington Voters to Decide on Income Tax Repeal
On November 3, 2026, residents will vote on Initiative 645 to repeal a 9.9% tax on high-income earners.
Updated on Oct. 29, 2026 in Taxes
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Washington voters head to the polls on November 3, 2026, to decide on Initiative 645. This ballot measure seeks to repeal a planned 9.9% tax on annual individual and household income exceeding $1 million.
Why it matters
Proponents argue the tax will provide essential funding for childcare, K-12 education, and small business tax credits. Conversely, opponents contend the measure will prompt wealthy residents and businesses to relocate outside of Washington.
The tax is projected to generate $3 billion in annual revenue, though it would apply to less than 1% of the state population. In comparison, neighboring Oregon utilizes tax brackets ranging from 4.75% to 9.9%, while Idaho maintains a 5.3% marginal rate.
The players
Let's Go Washington
This organization is a political action group that leads efforts to challenge state tax policies through litigation and ballot initiatives.
The details
The tax is scheduled to take effect in 2028 if not repealed by the upcoming vote. The group Let's Go Washington filed a lawsuit in June to challenge the constitutionality of the tax ahead of the election.
Timeline
Let's Go Washington filed a lawsuit against the tax in June 2026.
Voters will decide on Initiative 645 on November 3, 2026.
The tax on income over $1 million is scheduled to start in 2028.
Market Dynamics
Initiative 645 represents a significant pushback against the expansion of the Washington state budget, which has grown from $33 billion to over $80 billion. This movement highlights a broader regional debate regarding fiscal policy and the tax competitiveness of Pacific Northwest states.
For taxpayers with annual incomes exceeding $1 million, the vote determines whether they will be subject to a 9.9% tax starting in 2028. Small business owners are also impacted, as the tax remains a key factor in the availability of state-provided tax credit increases.
The takeaway
Voters face a choice between supporting the expansion of public programs through high-earner taxation or seeking to maintain a tax structure that does not include this specific income levy. Residents should review the fiscal implications for their own tax planning ahead of the 2028 start date.
What happens next
The outcome of the vote on Initiative 645 will be decided on November 3, 2026, with the income tax currently scheduled to begin in 2028 if it remains in place.
Further reading
Learn more about local fiscal policies on the Washington Taxes page.
More information
For official election details, visit the Washington secretary of state elections page.
Source note: This article includes information reported by The Gonzaga Bulletin.
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Should states implement income taxes on high earners to fund public services?
