TrickJarrett.com

Saturday, May 27th, 2023

« Previous Day Next Day »

Washington wealth tax delivers huge income to the state

This spring, after decades of discussion, the state finally imposed its first wealth-related levy. The capital gains tax, passed in 2021 and upheld by the state Supreme Court in March, taxes not extreme wealth but the machinations of it — the selling of assets, mostly stocks, in amounts that lead to profits of more than $250,000 in a year.

Estimators modeled that Washington has about 7,000 people who live in this rarefied financial air. These one-tenth percenters would book roughly $8 billion in capital gains, mostly in stock options or returns from investment funds (real estate sales are not taxed). The 7% capital gains tax would then raise $440 million in 2023, to be used for schools.

What ended up happening blew the models out of the water.

According to the state, 3,190 people have paid a total so far of $849 million — nearly twice what was expected. That reflects about $13 billion in underlying capital gains booked by these 3,000-plus people in 2022. That's fewer people than expected. But they turned out to be far richer.

5/27/2023 8:04 am | | Tags: washington state, taxes, 1%, wealth

Automated Archives for May, 27th 2023

This post was automatically generated

Wallabag Additions

These are articles that which I saved today so that I may read them later. Substance and quality will vary drastically.

Chess For the Day

Record: 1-1-3
Net Elo Change: -12

Games Played

Blog Posts On This Day

5/27/2023 10:45 pm | | Tags: automated, longreads, chess
« Previous Day Next Day »