VANCOUVER, Wash. (KATU) — Washington lawmakers are mulling over a proposed 5% payroll tax.
According to House Bill 2100, if passed, the tax would be imposed on “large operating companies” in an effort to help establish what’s being called the Well Washington fund.
The tax would be imposed on companies with more than 20 employees and grossing at least $5 million. It would only apply to earnings of more than $125,000. This would impact just the business, not the employee earning the wages.
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According to HB 2100, “Washington state stands to lose up to $51 billion in federal Medicaid funding in the next decade.” The bill goes on to state that thousands ofpeople would be in danger of losing their coverage.
“It’s using the businesses like ATMs,” Bryan Shull, owner of Trap Door Brewing, said during an interview with KATU News.
Shull said if the bill does pass, it would impact his business, and he’d have to raise his prices.
“At some point, you’re just starting increasing your prices for your goods and services past people’s ability to pay for them,” he said.
Washington Rep. John Ley told KATU this bill is “unconstitutional” and said he plans to vote “no.”
“At the end of the day, big picture, Washington has a spending problem, not a revenue problem,” Ley said.
