Washington Income Tax Study Warns of $2.50 Economic Loss Per $1 Taxed

Could Washington's millionaire income tax reduce economic output by more than the revenue it generates? Ryan Frost of the Washington Policy Center discusses an economic study estimating that for every $1 Washington collects from its income tax, the state's economy could lose approximately $2.50 in real economic output compared with a scenario without the tax. Frost argues that while the income tax would generate additional revenue for state government, the broader economy could experience reduced economic activity. “Taxes do have consequences,” Frost says, warning that government revenue growth could come at the expense of the productive economy. The findings add to the debate over Washington's millionaire income tax, the state's business climate, economic growth and the consequences of tax policy. Subscribe to The Center Square for more Washington state news covering taxes, government spending, business, the economy and taxpayer accountability. #WashingtonState #IncomeTax #MillionaireTax #WashingtonEconomy #TaxPolicy #WashingtonPolicyCenter #EconomicGrowth