Tax Cuts vs Revenue: Idaho vs Washington Income Tax Debate

A new report is fueling the debate over income taxes — showing that Idaho lowered its income tax rates and saw revenue nearly double. So what does that mean for Washington State, which is preparing to implement a new 9.9% income tax on high earners? In this episode of Washington In Focus Daily, we break down the numbers and the policy debate shaping the future of taxation in the region. 📊 Key findings from Idaho: Income tax rate reduced from ~7.4% to 5.3% (flat tax) Income tax revenue increased from $1.16 billion to $2.26 billion That’s a 95% increase in revenue despite lower tax rates 💰 Washington’s situation: New income tax targeting income above $1 million Ongoing debate over long-term economic impact Concerns about how multiple taxes (sales, gas, property, income) affect residents and businesses We also explore: The argument that lower taxes can grow the economy and expand the tax base Whether Idaho is a fair comparison to Washington The broader question: Do tax cuts increase or decrease government revenue? 🔔 Subscribe for more coverage on taxes, economic policy, and state-level debates. #IncomeTax #TaxCuts #Economy #WashingtonState #Idaho #TaxDebate #PublicPolicy #Finance #BreakingNews #CostOfLiving