Wash. lawmakers seek broad review of tax breaks
OLYMPIA, Wash. (AP) — A bipartisan pair of state lawmakers advocated Friday for a wide-ranging review of nearly $2 billion in annual tax breaks for Washington's businesses, nonprofits and local governments.
At a press conference, Reps. Reuven Carlyle, D-Seattle, and Glenn Anderson, R-Fall City, proposed legislation to eliminate 251 tax breaks, none of which currently has a sunset clause. The first tax breaks would expire in 2017, with the remainder split into four groups expiring every two years thereafter.
This would trigger a review of each tax break to determine whether it still serves a useful purpose to the state and would likely free up money for other worthy tax incentives, the lawmakers said.
"It's not about advocating that this (tax break) is right or that one is wrong," said Carlyle. "It's about an unbelievably open conversation with 147 legislators to make much more objective decisions about whether they actually work for taxpayers."
Some of the tax breaks up for review under the bill include investment income tax deductions for most businesses, sales tax exemptions on animal feed and business and occupation tax deductions for many hospitals. Property tax exemptions, such as those for nonprofits and religious institutions, would not be affected under the legislation.
Anderson said this is an effort to overhaul the system, not increase taxes.
"You can take any five or seven words that a politician says and turn that into the noose that hangs him," he said. "If we continue along that line, we're not going to make any progress."
While legislators are grappling with how to close a roughly billion dollar budget deficit this session, the bill's sponsors note that it would not impact the budget for several years.
The measure will receive a hearing in the Ways and Means Committee, Carlyle said.
But it faces an uphill battle. State law requires a two-thirds majority in the Legislature to raise taxes.
At a press conference, Reps. Reuven Carlyle, D-Seattle, and Glenn Anderson, R-Fall City, proposed legislation to eliminate 251 tax breaks, none of which currently has a sunset clause. The first tax breaks would expire in 2017, with the remainder split into four groups expiring every two years thereafter.
This would trigger a review of each tax break to determine whether it still serves a useful purpose to the state and would likely free up money for other worthy tax incentives, the lawmakers said.
"It's not about advocating that this (tax break) is right or that one is wrong," said Carlyle. "It's about an unbelievably open conversation with 147 legislators to make much more objective decisions about whether they actually work for taxpayers."
Some of the tax breaks up for review under the bill include investment income tax deductions for most businesses, sales tax exemptions on animal feed and business and occupation tax deductions for many hospitals. Property tax exemptions, such as those for nonprofits and religious institutions, would not be affected under the legislation.
Anderson said this is an effort to overhaul the system, not increase taxes.
"You can take any five or seven words that a politician says and turn that into the noose that hangs him," he said. "If we continue along that line, we're not going to make any progress."
While legislators are grappling with how to close a roughly billion dollar budget deficit this session, the bill's sponsors note that it would not impact the budget for several years.
The measure will receive a hearing in the Ways and Means Committee, Carlyle said.
But it faces an uphill battle. State law requires a two-thirds majority in the Legislature to raise taxes.
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