HB 2716 restores a tax credit for electric and gas utilities that provide low-income energy assistance, directly affecting these utilities and the low-income households they serve through energy assistance programs. Utilities can claim a 50% tax credit on qualifying contributions (money given to low-income energy assistance programs) and billing discounts (reduced bills for eligible customers) if their spending exceeds 125% of their 2000 levels. The credit is capped at $2.5 million statewide annually, requires annual applications with specific documentation, and expires unused. The bill aims to support existing low-income energy assistance programs by incentivizing utility contributions.
HB 2726 would allow Washington state parks districts to propose a new 0.2% sales tax to voters for park and recreation improvements. If approved by voters, the tax would fund parks, trails, athletic fields, and facility maintenance, with revenues limited to 10 years (extendable with new voter approval or up to 20 years if dedicated to debt repayment). The tax would apply to taxable purchases under state law and must be collected in addition to existing taxes. Voters in affected communities would decide whether to implement this local tax increase.
HB 2739 establishes the Washington Institute for Scientific Advancement to offset federal funding cuts threatening research in Washington. It authorizes $6 billion in state bonds to fund critical scientific research at public universities and institutions, directly affecting fields like cancer treatment, veterinary medicine, climate science, and semiconductor technology. The bill aims to sustain ongoing projects jeopardized by federal grant reductions, including Washington State University's veterinary disease lab and University of Washington's $2.6 billion annual economic contribution. Proceeds will be allocated over three biennia to maintain research programs and prevent loss of scientific talent and economic impact.
This bill restores Washington's pre-2025 estate tax rates by amending the tax calculation tables in law. It directly affects estates of decedents dying in Washington with taxable assets exceeding $1 million, reversing recent increases implemented in 2025. The key provision replaces current tax brackets with historical rates, such as lowering the tax rate for estates between $2 million and $3 million from 17% to 15% for deaths after July 2026. The change ensures the state's estate tax aligns with rates in effect before July 1, 2025, without altering federal tax relationships.
SB 6346 would impose a new tax on Washington households with annual income of $1 million or more, affecting approximately the top 0.5% of earners. Revenue generated would fund K-12 education, health care, higher education, and human services programs. The tax excludes income from selling family-owned businesses and real estate, while also including reductions to sales taxes on essentials like personal care products and business taxes through credits. This policy aims to shift tax burden toward high earners to support public services, as the bill states Washington’s current system is the second most regressive in the nation.
HB 2738 would impose a 9.9% income tax on Washington residents with taxable income exceeding $1 million annually, applying to individuals (not households) with income over this threshold. The tax requires prior passage of a constitutional amendment and would generate revenue to fund public defense programs (7%) and state tax relief initiatives (93%), including sales tax relief and working families' credits. It defines "Washington taxable income" through modifications to federal adjusted gross income, with credits available for taxes paid to other states or business taxes. The bill, referred to the Finance Committee after its first reading on February 19, 2026, remains pending.
HB 2746 reduces Washington State's 2028 property tax levy by $2.1 billion, specifically by lowering the "part I highest lawful levy" amount used in tax calculations for that year. This adjustment directly affects all Washington property owners through the state's property tax system, as it modifies how tax rates are applied to assessed property values. The bill amends existing tax law (RCW 84.52.065) to implement this specific reduction for 2028, while maintaining the $3.60 per $1,000 assessed value cap for future years. It does not change current tax rates or provide immediate relief, only setting a defined reduction for the 2028 tax collection period.
HB 2717 amends Washington state's school funding formula to standardize how basic education funds are distributed to school districts. It establishes "prototypical" schools (e.g., 600 students for high schools) to calculate minimum funding needs, setting specific class size targets (like 17 students per teacher in K-3) and allocating funds for staff like counselors and nurses. The bill requires transparency by mandating public reporting of per-pupil funding for all programs, including a link on school district websites. It does not directly address "highly capable students" as its title suggests; instead, it focuses on general education funding mechanics and reporting. The bill is currently in the Appropriations committee after its first reading.
SB 6348 codifies Washington’s voluntary tax disclosure program and creates a temporary tax amnesty period. It allows businesses and individuals with unpaid state taxes (like sales, use, or business taxes) due before July 1, 2026, to avoid penalties and interest by filing all required returns and paying in full by October 1, 2026. To qualify, applicants must disclose all tax activity, have no fraud history, and not have been contacted by the department recently. The program excludes those with evasion penalties, criminal tax cases, or bankruptcy proceedings, and waives penalties only for taxes paid as required by the bill.
HB 2713 would impose a 1% surcharge on the taxable income from operating private detention facilities in Washington State, effective July 1, 2026. It directly affects operators of such facilities that generate over $1 million in annual Washington gross receipts. The surcharge applies to the portion of income specifically tied to running these facilities, in addition to existing business taxes. This policy change would increase tax obligations for qualifying private detention facility operators without altering the definition of the facilities themselves.
