[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-seo-302262-105":3,"detail-sidebar-cat-1-en-105":80,"doc-detail-302262-en":126},{"code":4,"msg":5,"data":6},0,"ok",{"site_id":7,"language":8,"slug":9,"title":10,"keywords":11,"description":12,"schema_data":13,"social_meta":73,"head_meta":75,"extra_data":77,"updated_unix":79},105,"en","wrong-diagnosis-wrong-prescription-income-tax-proposal-i-1098","WRONG DIAGNOSIS, WRONG PRESCRIPTION - Income Tax Proposal I-1098","","Washington Research Council policy brief opposing Initiative 1098, arguing that the proposed income tax is punitive, volatile, and harmful to economic recovery. It describes how the measure would target top earners with a steeply progressive graduated structure, introduce a highly variable revenue stream, and potentially destabilize state finances during downturns. The brief explains that the initiative imposes significant new business taxation on pass-through entities and offers no constitutional protections for taxpayers while doing little to reduce taxes for lower-income residents.",{"@graph":14,"@context":72},[15,34,55],{"@type":16,"itemListElement":17},"BreadcrumbList",[18,23,27,31],{"item":19,"name":20,"@type":21,"position":22},"https://docshare.wps.com","Home","ListItem",1,{"item":24,"name":25,"@type":21,"position":26},"https://docshare.wps.com/template/","Template",2,{"item":28,"name":29,"@type":21,"position":30},"https://docshare.wps.com/template/letters/","Letters",3,{"item":32,"name":10,"@type":21,"position":33},"https://docshare.wps.com/template/wrong-diagnosis-wrong-prescription-income-tax-proposal-i-1098/302262/",4,{"url":32,"name":10,"@type":35,"image":36,"author":41,"headline":10,"publisher":44,"fileFormat":47,"inLanguage":8,"description":12,"dateModified":48,"datePublished":49,"encodingFormat":47,"isAccessibleForFree":50,"interactionStatistic":51},"DigitalDocument",{"url":37,"@type":38,"width":39,"height":40},"https://docshare.wps.com/thumbnails/wrong-diagnosis-wrong-prescription-income-tax-proposal-i-1098/302262.png","ImageObject",442,249,{"name":42,"@type":43},"Himbo","Person",{"url":19,"name":45,"@type":46},"DocShare","Organization","application/pdf","2026-09-21","2026-09-19",true,{"@type":52,"interactionType":53,"userInteractionCount":22},"InteractionCounter",{"@type":54},"ViewAction",{"@type":56,"mainEntity":57},"FAQPage",[58,64,68],{"name":59,"@type":60,"acceptedAnswer":61},"What is Washington Research Council’s main objection to Initiative 1098?","Question",{"text":62,"@type":63},"The brief argues the income tax is punitive and volatile, jeopardizing recovery, destabilizing revenues, and discouraging jobs and investment.","Answer",{"name":65,"@type":60,"acceptedAnswer":66},"How does Initiative 1098 propose to apply the income tax for Washington residents?",{"text":67,"@type":63},"It defines taxable income as adjusted gross income (AGI) with specific exclusions, and it taxes income from pass-through entities even if it is not distributed to the taxpayer.",{"name":69,"@type":60,"acceptedAnswer":70},"What tax brackets and thresholds does the brief describe for calculating the tax?",{"text":71,"@type":63},"For joint filers, no tax is due up to $400,000, with graduated rates above that threshold; for individual filers, no tax is due up to $200,000, with graduated rates above that level.","https://schema.org",{"og:url":32,"og:type":74,"og:title":10,"og:site_name":45,"og:description":12},"article",{"robots":76,"canonical":32},"index,follow",{"doc_id":78,"site_id":7},302262,1790027335,{"code":4,"msg":81,"data":82},"success",[83,88,93,98,103,108,113,117,122],{"id":84,"doc_module":22,"doc_module_name":25,"category_name":85,"show_sort_weight":86,"slug":87},11,"Presentations",90,"presentations",{"id":89,"doc_module":22,"doc_module_name":25,"category_name":90,"show_sort_weight":91,"slug":92},12,"Resumes",80,"resumes",{"id":94,"doc_module":22,"doc_module_name":25,"category_name":95,"show_sort_weight":96,"slug":97},14,"Invoices",70,"invoices",{"id":99,"doc_module":22,"doc_module_name":25,"category_name":100,"show_sort_weight":101,"slug":102},15,"Posters",60,"posters",{"id":104,"doc_module":22,"doc_module_name":25,"category_name":105,"show_sort_weight":106,"slug":107},16,"Social Media",50,"social-media",{"id":109,"doc_module":22,"doc_module_name":25,"category_name":110,"show_sort_weight":111,"slug":112},17,"Forms",40,"forms",{"id":114,"doc_module":22,"doc_module_name":25,"category_name":29,"show_sort_weight":115,"slug":116},18,30,"letters",{"id":118,"doc_module":22,"doc_module_name":25,"category_name":119,"show_sort_weight":120,"slug":121},21,"Paper Templates",5,"papers-templates",{"id":123,"doc_module":22,"doc_module_name":25,"category_name":124,"show_sort_weight":4,"slug":125},158,"General","general-158",{"code":4,"msg":81,"data":127},{"doc_id":78,"user_id":128,"nickname":42,"user_avatar":129,"doc_module":22,"category_id":114,"category_name":29,"doc_title":10,"doc_description":12,"doc_content":130,"file_id":131,"file_url":132,"file_type":133,"file_size":134,"view_count":4,"is_deleted":4,"is_public":22,"is_downloadable":22,"audit_status":22,"page_count":135,"language":136,"language_code":8,"site_id":7,"html_lang":8,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":12,"update_tm":140,"read_time":120},687197100911,"https://ap-avatar.wpscdn.com/avatar/a000239b6f1da00475?x-image-process=image/resize,m_fixed,w_180,h_180&k=1785132997149421697","WREASESANGTONH CO UNCIL Policy Brief  \nPB 10-14 June 8, 2010  \nBRIEFLY  \nEven for those who favor an income tax, the peculiar, punitive and volatile tax imposed by I-1098 cannot be considered acceptable. It jeopardizes the recovery, destabilizes revenues, and chases away jobs and investment.  \nRevised 6/9/2010, to reflect legislative and voter actions in New Jersey, Maine and Rhode Island.  \nWASHINGTON RESEARCH COUNCIL  \n16300 Christensen Road, Suite 207 Tukwila, Washington 98188 206-467-7088  \nI-1098 INCOME TAX PROPOSAL:  \nWRONG DIAGNOSIS, WRONG PRESCRIPTION  \nFor the first time since 1973, Washington voters may be asked to approve an income tax initiative on the November ballot. Initiative 1098, with the highprofile backing of Bill Gates, Sr., the chair of the 2002 Tax Structure Study Committee, and the Service Employees International Union, would impose a steeply progressive graduated tax targeted at high earners to raise $1 .7 billion in new revenues annually. After modest reductions in business and property taxes, supporters of the initiative project it would provide a bit more than $1 billion in dedicated funding for health and education programs.  \nIn a significant departure from previous efforts, I-1098 proposes to impose an income tax by initiative, not constitutional amendment. This means, in the event the initiative passes constitutional muster (opinions differ), the tax rates, thresholds, etc., established in I-1098 can be modified at will by a simple majority of the legislature after two years. The measure provides no constitutional protections for taxpayers.  \nSignatures are currently being gathered. Supporters need to present 241,153 valid signatures to the Secretary of State by July 2 to qualify for the November ballot.  \nAs this Policy Brief details, the proposed income tax would penalize small business owners and entrepreneurs, destabilize the tax system by introducing a highly-volatile revenue stream, and damage our state’s national and global competitiveness for new investment and job creation. The I-1098 income tax scheme departs from fundamental policy principles and demonstrates a faulty understanding of the Washington tax structure.  \nBecause the new income tax targets only the very top of the income distribution, its revenue stream will be very volatile. This will increase the likelihood of serious fiscal crisis the next time that the economy turns down. Marginal tax rates will be among the nation’s highest for high-income individuals. Because S corporations, LLCs and partnerships are “pass-through entities” that are not taxed at the corporate level but instead have their income passed through to owners’ (shareholders’) individual tax returns, I- 1098 imposes a substantial new business tax on many of this state’s small, emerging, and dynamic enterprises. This is certain to discourage entrepreneurial activity in the state.  \nThe initiative does nothing to reduce the taxes paid by those at the bottom of the income distribution.  \nINITIATIVE DETAILS  \nIncome subject to the tax. For Washington residents, I-1098 defines taxable income to be adjusted gross income (AGI) as calculated at the bottom of the first page of the federal 1040 income tax form less interest received on federal obligations (which the state is prohibited from taxing) . This covers all income. For a taxpayer who invests in S corporations, LLCs, or partnerships, all income derived from those entities is taxable even if it is not distributed to the taxpayer.  \nFor nonresidents, taxable income equals the net income in AGI that is“derived from or connected with sources in this state.”  \nOther than interest received on federal obligations, the only deductions allowed in calculating taxable income are those that are taken on the first page of the federal 1040 form, i.e. the adjustments that convert total income into adjusted gross income. The deductions that are itemized on Schedule A and entered on the second page of federal form 1040 are not ","cbCairyNBODCDiDW","https://ap.wps.com/l/cbCairyNBODCDiDW","pdf",260517,13,"English","# BRIEFLY\n# I-1098 INCOME TAX PROPOSAL: WRONG DIAGNOSIS, WRONG PRESCRIPTION\n## Initiative overview and voting requirements\n## INITIATIVE DETAILS\n## Income subject to the tax\n## Calculation of the tax","[{\"question\":\"What is Washington Research Council’s main objection to Initiative 1098?\",\"answer\":\"The brief argues the income tax is punitive and volatile, jeopardizing recovery, destabilizing revenues, and discouraging jobs and investment.\"},{\"question\":\"How does Initiative 1098 propose to apply the income tax for Washington residents?\",\"answer\":\"It defines taxable income as adjusted gross income (AGI) with specific exclusions, and it taxes income from pass-through entities even if it is not distributed to the taxpayer.\"},{\"question\":\"What tax brackets and thresholds does the brief describe for calculating the tax?\",\"answer\":\"For joint filers, no tax is due up to $400,000, with graduated rates above that threshold; for individual filers, no tax is due up to $200,000, with graduated rates above that level.\"}]","WRONG DIAGNOSIS, WRONG PRESCRIPTION - Income Tax Proposal I-1098 | PDF",1789791277]