FRANKLIN COUNTY, WA – Franklin County Commissioners voted to ban a local income tax in their Monday meeting.
Franklin County now joins Yakima County and 11 WA cities with local income tax bans including Battle Ground, DuPont, Granger, Kennewick, Longview, Moses Lake, Richland, Spokane, Spokane Valley, Union Gap and Yakima.
From the new Franklin County local income tax ban:
“The Board of County Commissioners hereby declares that the imposition of a local income tax on the businesses and residents of Franklin County is prohibited. Such a tax would be in direct conflict with the high value the County places on promoting economic development through the attraction and expansion of financially healthy, family wage paying employers. Small businesses are the backbone of our local, regional, state, and national economy and it is imperative that the County not put unnecessary hurdles in the way of their success. As such, the Board of Franklin County Commissioners prohibits the imposition of a local income tax in the event a local income tax is determined legal and permissible by the Washington State Legislature or the Washington State Supreme Court.”
78% of Yakima voters last week approved a charter amendment banning a local income tax and 61% of statewide voters recommended the legislature repeal the new capital gains income tax.
Local governments are passing these bans in response to a surprising 2019 Court of Appeals ruling that opened the door to a flat 1% local income tax. The state Supreme Court let this ruling stand by not hearing the appeal.
Earlier this year the legislature adopted an unconstitutional capital gains income tax (while refusing to pre-empt cities from imposing a local version) with the stated goal from supporters of using the courts to open the door to income taxes across the state. The legislature has also funded budget studies to convince Washingtonians to support an income tax, with a taxpayer funded commission now traveling the state to do the same.
