GOODER AND HARDER, WASHINGTON: Democratic socialist lawmaker introduces statewide payroll tax.
On the steps of the legislative building in Olympia, the first-term Democrat told a dozen reporters that “progressive revenue” is needed to ensure that the ultra-wealthy pay their fair share.
The representative’s payroll excise tax proposal is intended to offset federal funding cuts that President Donald Trump signed into law on July 4.
Scott’s legislation aims to generate more than $2 billion annually for social service programs that are facing funding cuts at the federal level.
The bill would target private employers whose workers earn more than $125,000 a year. It would impose a 5% tax on payroll expenses above that salary threshold. Companies with more than 50 workers, a payroll exceeding $7 million, and gross receipts exceeding $5 million would be subject to the tax.
Tax the rich? In the Washington suburbs, $125,000 is solidly middle class, and probably sits at the lower end of the middle class in Seattle proper.