OLYMPIA — The Washington Supreme Court has agreed to review a decision by a lower court that overturned a new capital gains tax on high profit stocks, bonds and other assets.
Attorney General Bob Ferguson appealed the March ruling directly to the state Supreme Court, and the court’s order Wednesday means the case will be decided by the high court instead of first going to the Court of Appeals. A date for oral arguments has not yet been set.
The measure — approved by the Washington Legislature last year — imposed a 7% tax on the sale of stocks, bonds, and other high-end assets in excess of $250,000 for both individuals and couples. It was projected to bring in $415 million in 2023, the first year the state would see money from the tax.
In his written decision issued in March, Douglas County Superior Court Judge Brian Huber agreed with opponents of the new tax who had argued it was a tax on income that violates previous state Supreme Court rulings and the state constitution because it is not a uniform taxation on property. Supporters had argued that the tax is an excise tax, and thus, constitutional.