H-0708.3
HOUSE BILL 1665
State of Washington
69th Legislature
2025 Regular Session
By Representative Dufault
Read first time 01/28/25. Referred to Committee on Finance.
AN ACT Relating to repealing the capital gains income tax; creating a new section; repealing RCW 82.87.010 , 82.87.020 , 82.87.030 , 82.87.040 , 82.87.050 , 82.87.060 , 82.87.070 , 82.87.080 , 82.87.090 , 82.87.100 , 82.87.110 , 82.87.120 , 82.87.130 , 82.87.140 , 82.87.150 , and 82.04.4497 ; repealing 2021 c 196 ss 18 and 20 (uncodified); and providing an effective date.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 1. The legislature finds that the capital gains income tax incentivizes the out-of-state migration of individuals and families and is responsible for reducing Washington state's economic competitiveness relative to other states. To maintain Washington as a desirable place where individuals and families choose to reside, invest, and thrive, the legislature recognizes the need to repeal policies that discourage growth, innovation, and prosperity.
This tax has disproportionately affected economic activity and disadvantaged individuals and families who lack the means to avoid its impact. These dynamics exacerbate imbalances in the tax system and place additional burdens on those unable to navigate or mitigate the tax's effects. By repealing this tax, the legislature aims to create a fairer, more competitive economic environment that encourages the retention and attraction of diverse talent and investment.