Dave Ross
Magic Formula Cuts Sales Tax!
The state portion of the sales tax is now 6.5%, but the legislature could cut it to 4.2% without bankrupting the state. All it takes is to get rid of all the exemptions — transactions that are exempt from the sales tax just because… they are.
The Washington State Budget and Policy Center provides this chart:
Option 3 shows what the state sales tax could be if services were taxed and subsidies removed. Not rocket science. But it would require some serious political magic.
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