In Sunday’s print edition I take at peek at what Democrats are pondering in the way of taxes.
The punch line is there are many Democrats in the House and Senate interested in a temporary hike in the state portion of the sales tax and there are many who are not.
Here’s my take on the various camps out there — including guesses for the top two legislative leaders. Feel free to let me know where I am wrong.
No new taxes: most Republicans.
No new taxes with the possible exception of a tax law change to deal with the Dot Foods lawsuit: a handful of Republicans if this was dealt with in a single bill.
Governor’s tax package: Gov. Chris Gregoire.
Governor’s tax package with a little tinkering: House Speaker Frank Chopp and a handful of Democrats.
Hunter tax package (minus a couple pieces) plus Hazardous Substances Tax hike plus parts of the governor’s package — taxes on cigarettes, candy, bottled water etc : It appears more Dems in the House like a smorgasbord approach than do Dems in the Senate. Call this group the pragmatics who think this method will be easier to defend in November than a sales tax hike. If a buffet can be laid out that raises enough money, this may be the approach that nets 50 votes in the House and 25 in the Senate.
Sales tax hike of one cent, dropping over time as unemployment rate declines. More than a dozen Democrats signed onto a bill to do this but there’s no sign the bill will get a hearing.
Sales tax hike of one-fourth to one-half cent, expiring in 3 years: Moderates associated with the Roadkill Caucus and some Dems who want to raise more money than envisioned in the non sales tax packages. This appears to be the other vehicle with the best chance of winning majority support among Democrats.
Sales tax hike of one-fourth to one-half cent, expiring in 3 years with Working Families Tax Credit: Senate Majority Leader Lisa Brown and some liberal Democrats.
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