Victory: Capital Gains
In 2021, we passed the capital gains tax, a small tax on massive stock market profits.
The tax would generate more than $500 million per year in education funding raised from a 7% capital gains tax on extraordinary profits from stock sales exceeding $250,000 annually. It exempts items such as the sales of real estate, retirement accounts like IRAs, family-owned small businesses, and farms, among other things. It is estimated that only 0.2% of the wealthiest Washingtonians would pay this tax.
The capital gains tax increases funding for the Education Legacy Trust Account, which supports child care, pre-schools, special education, and community and technical colleges, among other things. It also funds the Common School Construction Account, which helps with renovating, repairing, and building schools.
Hear our WEA president Larry Delaney explain how the tax works, and why only the very wealthiest will be paying it.