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WA HB2167
Bill
Status
1/12/2026
Primary Sponsor
Travis Couture
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AI Summary
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Requires the Department of Revenue to automatically reduce Washington's state retail sales and use tax rate (RCW 82.08.050) if the legislature enacts an income tax or tax on individual earnings
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Sales tax reduction must be commensurate with the projected revenue increase from the new income or earnings tax, effectively offsetting the new tax revenue
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Adds a new section to chapter 82.08 RCW establishing this automatic trigger mechanism
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Legislative findings cite Washington as the fourth most expensive state to live in and characterize income tax proposals as "economically damaging" and previously ruled unconstitutional
Legislative Description
Keeping the legislature's promises by reducing the sales tax in the event of an income tax or a tax on individual earnings.
Last Action
First reading, referred to Finance.
1/12/2026