Inslee pauses payroll tax, GOP wants tax cuts
By Terry Murry on Monday, December 20th, 2021 in Columbia Basin News More Top Stories
OLYMPIA — Washington Gob. Jay Inslee and state Democratic legislative leaders announced Friday an agreement to delay the Washington Cares Fund premium assessment after legislators identified some areas that need adjustments which Inslee said he agrees with.
“Therefore, I am taking measures within my authority and ordering the state Employment Security Department not to collect the premiums from this program from employers before they come due in April,” Inslee stated. “My actions mean that the state will not collect those funds until the Legislature sorts through these issues. While legislation is under consideration to pause the withholding of LTC fees, employers will not be subject to penalties and interest for not withholding fees from employees’ wages during this transition.”
The Washington Legislature passed the Long-Term Services and Supports Act, now known as the Washington Cares Fund, in 2019 to ensure the people of Washington have a convenient, cost-effective long-term care option they can rely on without bankrupting them or denying them coverage for pre-existing conditions. The payroll deduction for WA Cares is to be 0.58 percent.
Meanwhile, on Thursday, the state Senate Republican budget leader said Governor Jay Inslee’s nearly $62 billion spending plan revealed last week disrespects taxpayers. Sen. Lynda Wilson of Vancouver said the state is on track to be billions of dollars ahead, yet the governor doesn’t propose any tax relief.
“The state treasury is on track to be billions of dollars ahead, yet the governor doesn’t have the heart to propose significant, direct tax relief for a single resident of our state,” she said.
Wilson said state spending has doubled during Inslee’s time in office, growing more than twice the rate of median wages.
“He’s been about 22 tax increases for the last three sessions raising $40 billion over the course of 10 years, so I’m really disappointed,” she added.
The 2022 Legislative Session is set to begin mid-January and is scheduled to run for 60 days.
