Washington’s taxation system is often mired in controversial debates and has one of the highest death tax rates in the country. According to Jason Mercier, director of the Center for Government Reform with the Washington Policy Center, Washington is among the few states still counting on death to fund certain programs. Yet, the state doesn’t levy an income tax on its residents. Through the death tax, the state taps revenue during the transfer of ownership of an estate from a dead individual to their heirs and prevents massive wealth accumulation to a few families. Something to note is that Washington harbors some substantial companies such as Amazon, Starbucks, and Microsoft, among others. Proponents of the death tax argue that it helps to raise additional funds to promote K-12 education. They also state that the death tax helps mitigate the existing regressive tax regime that supports societal inequality. Washington applies general taxation. A system disproportionately burdens low and middle-income earners compared to wealthy individuals. Washington’s death tax applies to those with estates above $2.2 million and ranges between 10% and 20%. Democratic legislators support the death tax, saying it helps bridge the gap between the wealthy and low-income earners. The inequality emanates from the lack of income and capital gains tax that could tap more funds from the rich. There is overwhelming opposition from the rich. The opponents call the economic tax malpractice an unnecessary burden to family-owned firms and lobby lawmakers to repeal the tax, saying keeping it doesn’t make sense and no one likes it. Whereas the proponents of Washington’s high death tax rate applaud it, as it benefits the state with increased revenues and enhanced equality, opponents say it is malpractice that should be scrapped. The question for debate is, should Washington, the state with the highest death tax in the country, push to lower and or repeal it?
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