OPB: Washington Gov. Jay Inslee signs capital gains tax into law even as legal challenges loom

While Democrats and Republicans came together around the tax credit, the capital gains tax fiercely divided the two parties.

Throughout the legislative session, Democrats insisted a tax on capital gains is an excise tax that will make Washington’s tax code less regressive. They often point to a report by the left-leaning Institute on Taxation and Economic Policy that found Washington has the “least equitable” tax system of any state. Read more