Curley: The “Millionaire Tax” is a Slippery Slope to a Statewide Income Tax

In a sharp-witted critique, John Curley argues that Washington’s new “millionaire tax” is less about taxing the ultra-wealthy and more about building the infrastructure for a universal state income tax. Curley warns that while the tax is currently marketed as a targeted strike on the rich, the history of government expansion suggests that “temporary” or “targeted” taxes rarely stay that way.

Highlights from Curley’s perspective:

• The “Foot in the Door” Strategy: Curley contends that advocates for the tax are using the “millionaire” label to make the idea palatable to the public. He suggests that once the legal and administrative framework for an income tax is established, the threshold for who qualifies as “wealthy” will inevitably drop to include the middle class.
• The Wealth Exodus: A major concern raised is the potential for “capital flight.” Curley notes that millionaires have the mobility to move their primary residences to tax-friendly states like Florida or Texas, potentially leaving Washington with a budget hole and a smaller pool of donors for local non-profits and the arts.
• Government Appetite: The core of the argument is a skepticism of state spending. Curley posits that the state government’s “hunger” for revenue is insatiable, and that new taxes often fund bureaucracy rather than providing tangible improvements to infrastructure or public safety.
• Voter Intent vs. Legislative Action: He highlights the tension between Washington voters—who have historically rejected income taxes at the ballot box—and a legislature that he views as determined to bypass that preference through creative legal labeling and “excise tax” workarounds.

The Bottom Line:

For Curley, the millionaire tax is a Trojan horse. He urges Washingtonians to look past the “tax the rich” rhetoric and realize that the mechanism being built today will likely be used to collect from everyone else tomorrow.

Washington’s Income Tax Debate

This video provides additional context on the legal challenges and public debate surrounding Washington’s shift toward income-based taxation.