Jesse Proudman Moves to Austin Over Washington's 9.9% Tax on Income Above $1 Million
Updated
Updated · Fox News · May 14
Jesse Proudman Moves to Austin Over Washington's 9.9% Tax on Income Above $1 Million
2 articles · Updated · Fox News · May 14
Austin-bound Jesse Proudman said he will move his life and business interests out of Washington, arguing the state's new tax regime has made it unfriendly to startups and entrepreneurs.
The law, signed in March, imposes a 9.9% tax on annual income above $1 million starting Jan. 1, 2028, with first payments due in 2029.
Let's Go Washington is trying to repeal the measure before it takes effect and says it must gather about 325,000 signatures by July 2 to place it on the November ballot.
State Sen. Jamie Pedersen, the bill's sponsor, says there is no evidence the tax will drive residents or businesses away, but an Association of Washington Business survey found 44% of business leaders are considering moving their personal residences.
The fight comes after Washington's Supreme Court upheld a 7% capital-gains tax in 2023, a ruling critics say opened the door to broader income-based levies in a state long known for having no personal income tax.
With a court ruling blocking a public vote, is the high-earner exodus from Washington just beginning?
Will Washington's tax on millionaires fund a better future or trigger an economic chain reaction that hurts everyone?