Governor Ferguson signs Senate Bill 6346, the “millionaire’s tax,” into law

Governor Ferguson signed Senate Bill 6346, described in the event as the "millionaire's tax," into law at a bill-signing ceremony. "I'm proud to join all of you in making history today by signing into law Senate Bill 6346, the millionaire's tax," the governor said, and outlined how the measure works and how its revenue will be spent.

The governor said the tax applies only to income above $1,000,000 in a single year and does "not tax the first million dollars." He told the audience that "less than 1 half of 1% of all Washingtonians will pay tax on income over $1,000,000 in a single year." The governor framed the law as an effort to rebalance a tax system he called among the nation's most regressive and said a substantial portion of revenue will flow back to residents.

Key spending priorities the governor and sponsors highlighted include expanding the state's Working Families Tax Credit, funding free breakfast and lunch for every K–12 student, investing more than $300,000,000 in affordable childcare in the first full year, reducing or eliminating Business & Occupation (B&O) tax obligations for roughly 130,000 small businesses, and eliminating sales tax on baby diapers and over-the-counter drugs and hygiene products.

State Sen. Jamie Peterson, a prime sponsor, described the measure as "the most substantial progressive tax reform in our state's history," saying it will fund schools, health care, childcare and higher education. Rep. Joe Fitzgibbon, the House majority leader and companion sponsor, called the package "much more than a millionaire's tax" and emphasized that tax changes such as sales-tax relief on essentials and B&O reductions are intended to make life and compliance easier for families and small businesses.

Community speakers at the event gave personal accounts of how the policies will affect them. Athena Dunn, a single parent, said of the Working Families Tax Credit: "When the extra support came in, it gave us breathing room. It lowered my stress and allowed me to focus on moving forward instead of just getting by." Terrence Jeffrey Santos, a small-business owner, said the measure offers "hope" through improved cash flow for restaurants and creative-economy businesses. Brian Kershner, a technology executive who said he expects to pay more this year, rejected the idea that wealthy residents will leave en masse, saying, "For those saying us rich folks will leave if taxed, I can promise you we won't pack up en masse."

The governor closed the ceremony with a pen-bearing signing tradition and invited sponsors to sign; he also announced a rally on the steps at 11:30. The transcript does not specify a calendar date for the ceremony.

What happens next: the law takes effect as provided in the bill (details and effective dates were not specified in the transcript), and sponsors and advocates said there will be public conversation in the coming days and weeks about implementation and distribution of the revenue.