(The Center Square) – A week after Let’s Go Washington launched an initiative campaign aimed at repealing the newly passed income tax, the organization tells The Center Square “more people have signed up to receive petitions in a shorter amount of time than any other initiative.”
It was last Tuesday, LGW announced the initiative (IP26-645) and said signature gatherers would soon be out collecting voter signatures, with a July 2 deadline to collect about 309,000 valid signers.
“LGW has 51 days to gather 400,000 signatures, a goal supporters are confident they can reach,” wrote LGW in a May 12 news release.
The goal is to collect far more signatures than needed to qualify, to account for duplicates or other invalidated signers.
Building Industry Association of Washington Executive Vice President Greg Lane says they have partnered with LGW to promote the initiative because of major concerns about the economic impact of an income tax, not just on their building industry members, but all Washingtonians.
“We know that it’s an economic development killer. You know, people who drive this economy, who create jobs in this economy are going to be moving from our state,” Lane said in a Tuesday interview with The Center Square.
Lane said many of their members also expect to have to pay that tax when collections begin in 2028, even if the threshold remains at income above $1 million.
“It’s not a large percentage of our membership, but there are some who will fall into it because of the way that it’s structured with the pass-through LLC’s,” he said. “So for a builder doing a project for three years, they won’t make any money for those three years, and then suddenly, they’ll sell the project at the end when it’s all done, and that’s where they’ll make their money.”
“And then they’re going to get taxed on it because it comes in in one year,” he added. “And so, they may not pay the tax every single year, but because of the way construction works, they’re going to end up having to pay this tax.”
Lane said their members are convinced the “millionaires’ tax” will eventually be applied to all income earners in the state.
“We know that this is only the beginning and that million dollar figure is going to come down and it’s going to hit more and more people, and more and more small business people over time. Once they get that nose under the tent,” Lane said. “And so that’s the biggest reason why we’re in opposition to it.”
Heather Andrews, Western Regional Director for Americans For Prosperity told The Center Square, the new income tax risks undermining Washington’s economic future.
“The cumulative burden is now driving all of the people that are the major contributors to the economy out of the state. It’s accelerating the exodus,” said Andrews.
“You’re seeing business leaders leaving the state…..a wide variety of businesses are now saying enough is enough. I can’t do this anymore. We can’t afford it,” she added.
Andrews said AFP is hearing major frustration at the way the tax was pushed through by majority Democrats.
“So many people are outraged, because over 100,000 individuals and taxpayers and residents signed in opposition, which was a record, and lawmakers signed the bill anyway,” she said.
She was referring to the number of people who signed in “con” ahead of SB 6346 receiving an initial public hearing during the 2026 legislative session.
“To me that’s not leadership, that’s defiance and it’s a failure, and with one-in-four Washington employers now actively considering leaving the state…..that’s really scary,” Andrews said.
“And people should be concerned. State leaders should be concerned. The governor should be absolutely concerned,” she added.
BIAW is also a party to the lawsuit filed last month in Klickitat County Superior Court, claiming the income tax is unconstitutional.
Led by Citizen Action Defense Fund, plaintiffs include a coalition of individual taxpayers, farmers, and business groups.
The office of Attorney General Mike Brown on May 15 filed their response to an amended complaint from CADF.
Interestingly, the state did not ask for a change of venue, which is surprising given the state almost always seeks to move cases like this to Thurston County Superior Court.
This may signal the state hopes to expedite the case, in hopes of getting it before the State Supreme Court, sooner rather than later.
The Economic Opportunity Institute told TCS they support the income tax as part of the solution to “correct Washington’s regressive tax code.”
Asked about concerns that the measure may be ruled unconstitutional, EOI’s Policy & Research Associate Annie Kucklick said it will be up to the courts and voters.
“It’s not our role to determine that. You can look at other state’s and how property is interpreted because ultimately it comes down to the definition of how you define property and income and if income is defined as property,” said Kucklick.
“People will have a say in determining whether they want this to stay or not.”
Lane at BIAW said they believe voters will support the income tax repeal initiative, as he’s hearing overwhelming frustration about how lawmakers pushed the measure through.
“They broke the public trust on this issue,” he said.
“The way they went about it with really kind of thumbing their nose at the public. And for somebody who’s born and raised here and lived my entire life here, it’s really sad to see the sentiment of folks who feel like they have no choice but to leave,” he added.
