Washington Governor to Sign 'Millionaires Tax' Bill

The new income tax on households earning over $1 million annually will fund education, healthcare, and other services.

Mar. 29, 2026 at 9:22pm

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Washington Governor Bob Ferguson is set to sign a controversial 'millionaires tax' bill into law on Monday, March 30th. The bill will institute a 9.90% income tax rate on households earning more than $1 million annually, with the funds going towards K-12 education, healthcare, higher education, and other government services.

Why it matters

The 'millionaires tax' has been a hotly debated issue in Washington, with Republicans arguing it is unconstitutional and could expand beyond just high-income earners. The signing of this bill into law is a significant political and economic development for the state.

The details

The new tax will go into effect on January 1, 2028. According to the governor's office, the funds raised will be allocated to K-12 education, healthcare, higher education, a working families' tax credit, and efforts to reduce sales and business taxes.

  • Governor Ferguson is scheduled to sign the bill around 10 a.m. on March 30, 2026.
  • The governor will also sign additional bills related to immigration policy around 1:30 p.m. on the same day.

The players

Governor Bob Ferguson

The Democratic governor of Washington who is signing the 'millionaires tax' bill into law.

Washington State Legislature

The state legislature that passed the 'millionaires tax' bill earlier this month, which is now being signed into law by the governor.

Republican State Representatives

Republican state representatives who have said they plan to repeal the 'millionaires tax' bill, arguing it is unconstitutional and could expand beyond just high-income earners.

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What’s next

Republican state representatives have already indicated they plan to attempt to repeal the 'millionaires tax' bill after it is signed into law by Governor Ferguson.

The takeaway

The signing of the 'millionaires tax' bill into law in Washington represents a significant political and economic development in the state, with the new tax revenue set to fund key public services like education and healthcare. However, the bill faces ongoing opposition from Republican lawmakers who argue it is unconstitutional and could expand beyond just high-income earners.