(The Center Square) – On the heels of a potential end to Washington state’s capital gains tax, Amazon founder Jeff Bezos is selling off more shares of his company, further highlighting potential lost capital gains tax revenue for the state.
A Nov. 1 regulatory filing revealed that Bezos plans to sell 16.6 million shares worth approximately $3 billion.
Bezos has now sold approximately $16.5 billion worth of Amazon shares so far in 2024.
In the final months of his residency in Washington, Bezos was subjected to owing the state $70 million for every $1 billion of Amazon stock he sold.
However, the billionaire didn’t make any major transactions until after he moved to Miami, where he is not subject to the tax.
Had Bezos made the latest transaction under the capital gains tax, he would have had to pay $210 million out of the approximately $3 billion he will collect from his impending sale of 16.6 million Amazon shares.
The $16.5 billion in total shares sold from Bezos translates to approximately $1.2 billion in lost tax revenue for Washington for this year alone. Notably, the capital gains tax generated around $889 million in revenue in its first year.
Bezos last sold shares in July, when Amazon’s stock was nearly $200 per share. The stock was nearly $198 per share when Bezos filed his latest intent to sell shares.
Washington voters will decide the fate of the capital gains tax Tuesday via Initiative 2109, which would repeal the 7% tax on the sale or exchange of long-term capital assets such as stocks, bonds, business interests, or other investments and tangible assets.
Opponents of I-2109 say that its passage would result in the loss of revenue for Washington, reduce education and childcare funding, and negatively impact state programs. The Center Square previously reported on western Washington cities approving resolutions that publicly oppose Initiative 2109. These cities include Bellingham and Olympia.
