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Dear Friends and Neighbors,

With the “special” session almost half over, I wish I had more to report.  Not much movement has been made in the budget negotiations as far as I can tell.  It's important for folks to remember that ultimately, this special session comes down to one thing: taxes.

With about $2 billion more in revenue for the next budget cycle, I don't think we can justify raising taxes on employers, families and individuals.  House Democrats want to raise taxes on employers by about $879 million through House Bill 2038.  Much of this increase comes from extending the onerous business and occupation tax (B&O) on service businesses.  Here's a scary question for you: Are you on the list?Are you on the list?

Our research shows that instead of going after big corporations, House Bill 2038 (passed with NO Republican votes) actually goes after the little guy – the guy on Main Street.

Here are some of the activities that will be taxed under the bill: assisted living facilities, auto dealers, builders, child day care facilities, child group foster homes, civic organizations, death services, dentists, educational support services, employment services, family services, grant-making and giving services, fine arts schools, home health care services, housing programs, legal services, medical labs, nannies, newspaper publishers, nursing care facilities, outpatient care centers, performing arts companies, personal care services, radio and television broadcasting, real estate activities, technical and trade schools, vocational rehabilitation services, and independent artists, writers and performers, to name a few of the more than 144,000 employers that would be impacted.

Click here for a complete list of employers and small businesses impacted by the House Democrats' proposed tax increase.

One of my goals during the special session is to work to take tax increases off the table.  I'll continue to fight against proposals like House Bill 2038 and try to bring some common sense to the budget debate.

Hopefully I'll have more to share with you in the coming weeks.

Sincerely,


Joe Schmick

State Representative Joe Schmick, 9th Legislative District
RepresentativeJoeSchmick.com
426B Legislative Building | P.O. Box 40600 | Olympia, WA 98504-0600
joe.schmick@leg.wa.gov
360-786-7844 | Toll-free: (800) 562-6000