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Getting an anti-capital gains tax measure on a WA ballot shouldn’t be this difficult

Washington citizens have a long history of voting down efforts to impose a statewide income tax — and that explains why the dispute over the title and description of Initiative 1929 is such a big deal.

Framing is everything.

I-1929 would do away with the capital gains tax that legislative Democrats and Gov. Jay Inslee pushed through in 2021. But by state law, it is up to the attorney general’s office to put forward the title and summary of the initiative.

And this is where the language gets tricky.

The attorney general’s office has proposed a ballot description that includes calling the measure an “excise tax.”

Proponents of I-1929 object to that particular word combination — and for good reason.

They rightly say the capital gains tax is truly an “income tax,” which is a key distinction because income taxes are forbidden by the state constitution.

Years of court decisions back this up, including a ruling last March by a Douglas County Superior Court judge who declared the capital gains legislation adopted in 2021 is an unconstitutional graduated income tax.

Of course, that decision is being appealed.

Supporters of the capital gains tax want to take the case all the way to the state Supreme Court where they hope a new set of justices will break decades of precedent.

If they do, this could open the door for allowing a statewide income tax down the road, which is the end goal for a number of Democrats.

So it begs the question as to why the neutral AG’s office would include the “excise tax” description on a proposed ballot measure when the courts have yet to approve that definition.

Describing I-1929 as an “excise tax” is more palatable. If voters saw the words “income tax” anywhere on the ballot, chances are they would do away with the new capital gains tax.

And most Democrats don’t want that. They made that clear when they approved SB 5096 — the capital gains bill — last year.

They arrogantly included an emergency clause in the bill so that voters would not be allowed to quickly repeal it through the referendum process.

It was an egregious misuse of power. The emergency clause is supposed to be used only in true emergencies — not as a tool to protect legislation from getting repealed by voters.

The move was so galling that at least one Democrat couldn’t go along with it.

In a floor speech Sen. Mark Mullet, D-Issaquah, called out his party for the sly maneuver.

At the time he said, “I find it extremely disappointing that we’ve now moved heaven and earth to make sure the residents of Washington state are not able to challenge this bill thru the referendum process.”

Now, it looks like forces are also trying to foil the initiative process.

I-1929 supporters are objecting to the AG’s language for the ballot measure. Unfortunately, though, they can’t gather signatures until the legal challenges are resolved.

To qualify for the ballot, signatures of at least 324,516 registered voters are due by 5 pm on July 8, so I-1929 proponents are losing valuable time.

Ever since SB 5096 was approved largely along party-lines last year, obstacles have popped up to prevent citizens from weighing in on this important tax measure.

Those lawmakers who are sure a capital gains tax is right for Washington state should focus on making their case — not thwarting a public vote.

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