WeVote
Log In

Bill

Bill

HB 1320

Modifying business and occupation tax rates to fund programs and services to benefit Washingtonians.

2025-2026 Regular Session Introduced by Beth Doglio and 3 co-sponsors

HB 1320 raises Washington State's business and occupation tax rates to increase revenue for state programs, affecting business costs and funding for public services.

By resolution, reintroduced and retained in present status.
0
WeVote Research Nonpartisan
Bill Summary · HB 1320

Legislative bill overview

HB 1320 modifies Washington State's business and occupation (B&O) tax rates—a gross revenue tax applied to different business classifications—to generate additional revenue for state programs and services. The bill was introduced in January 2025 and is currently under review by the Finance Committee. Specific rate changes and revenue allocations are not detailed in the available information provided.

Why is this important

Washington is one of few states relying heavily on B&O taxes rather than income taxes, making changes to these rates a significant revenue mechanism for funding education, healthcare, social services, and infrastructure. Any modifications to B&O tax rates directly affect business operating costs and state budget capacity, making this a consequential fiscal policy decision.

Potential points of contention

  • Business competitiveness concerns: Higher B&O tax rates could increase operational costs for Washington businesses, potentially affecting small businesses disproportionately and potentially incentivizing relocation to neighboring states
  • Revenue allocation and priority disputes: Disagreement over which programs and services should receive increased funding and whether new revenue actually reaches intended beneficiaries
  • Economic impact uncertainty: Debate over whether tax increases will generate projected revenue or trigger business contraction that reduces the overall tax base

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.