(The Center Square) – Some Washington state Republicans have come out against a statewide payroll tax unveiled earlier this week by Rep. Shaun Scott, a member of the Seattle Democratic Socialists of America since 2017.
Rep. Chris Corry, R-Yakima, who serves as deputy leader for House Republicans, told The Center Square on Thursday that Scott’s proposal for a 5% tax on salaries exceeding $125,000 will be a job killer, rather than the tax-generating machine Scott claims.
“I think it’s completely ill-advised. We are already facing job loss and taxpayer loss in this state,” Corry said. “As a matter of fact, a new report came out this week that shows every 29 minutes and 55 seconds… so every 30 minutes, a taxpayer leaves Washington state, and we know why they’re leaving. They’re leaving because jobs are getting moved elsewhere, opportunities are elsewhere.”
As reported by The Center Square, Scott’s “Well Washington Fund” payroll tax is similar to Seattle’s Jump Start Tax on employees earning more than $150,000 or more.
Seattle’s tax has failed to meet projected targets.
Amazon, the primary target of the tax, stopped building in Seattle and relocated approximately 14,000 employees to Bellevue.
Scott says the tax could raise as much as $3 billion annually to offset pending cuts from the federal government. About half of the revenue would go to higher education, energy and economic development, food assistance and health care. The rest of the money generated would go to the state’s general fund.
“We know it doesn’t work,” Corry continued. “This isn’t some novel idea; this is based on the Seattle payroll tax, and jobs left the city. And now you’re dealing with a 30% vacancy rate in Seattle commercial, when, you know, 10 years ago, you couldn’t look one way without seeing a construction tower.
“I think in the end, it will actually have a net negative revenue growth for the state of Washington because you’re going to move more jobs out of state. So in addition to not getting a payroll tax, you’re not going to get the property taxes, you’re not going to get the sales taxes, and all the other taxes associated with an individual taxpayer in our state.”
Washington State Republican Party Chair Jim Walsh, who also serves in the state House, told The Center Square he does not believe Democratic leadership will get on board with the payroll tax.
“It’s DOA. The political cost for Ds [Democrats] would be catastrophic,” Walsh said, speculating that Scott is positioning himself to run for U.S. Rep. Pramila Jayapal’s seat in Congress, assuming Jayapal runs for Sen. Patty Murray’s seat. Murray has declared her intention to run for another six-year term in the 2028 U.S. Senate election.
None of those players has confirmed that conjecture.
TCS reached out to Democratic leadership for comment on Scott’s suggested payroll tax legislation and received a response from the communications team.
“Leadership generally doesn’t comment on legislation that has not even been introduced yet, so neither the Speaker [Laurie Jinkins] nor Rep. [Joe] Fitzgibbon are likely to have enough information at this point to speak directly to the proposal. But I will let them know you are looking for a response,” emailed Jen Waldref, communications director for the Washington House Democrats.
