WA Supreme Court Upholds 7% Capital Gains Tax on >$250K

[Ruth4Truth]

Originally Posted by MechAndy

A layman or normal average person might think that this taxed income might add relief to the absurd property tax situation or one of the other absurd taxed situations.
As an average person that doesn’t trust the “tax man” I see this as just another money grab.

This “first $250K” is a rather low hurdle that will hurt a lot of hard working people.
When you consider the mass of dual income hard working families that bar even gets lower still.

These people work their butts off to have their kids raised in a modest upper middle class area with nice schools and the safety they deserve and this turns into a large money grab.

Is Jay thinking of following his big brother Gavin on the reparations thing?
Is this a take from the rich (who are not really rich) and give to the poor situation?
Where is all this money going to go?

Yup. This is going to hit a lot of people who struggled to save enough to barely see them through retirement, right in the nest egg. It's not like,once you clear 250K, you're Bill Gates and can afford to get taxed. What this may mean, is that those who can manage it, and are still in good physical condition, will have to postpone retirement. They'll have to work longer to make up for losing an annual amt. to the tax. That, in addition to the pressure people are already under to deal with upward property tax reassessments, is going to make for some stressful retirements. Or hard decisions will have to be made, like moving to low-property-value areas, like Shelton, or something. Forks. South Bend. Or Andy's neighborhood. Hi, Andy. Did you say you have a rental on your property (besides the one your daughter occupies)?

[StealthRabbit]

or... change your domicile to income tax free SD (one overnight per lifetime req)

and...
don't trigger WA domicile.

generally...

As a rule of thumb, staying out of Washington for at least 183 days*, or about 6 months, is a good practice to demonstrate you have affirmatively changed your residency.

(WA also looks at primary home ownership, transfer it to an LLC (that is not a WA LLC !!).
Also register your utilities in another name / or your LLC.
Be careful how you use your CC and shipping addy. (You probably want a MT mailbox and LLC)

https://www.foxrothschild.com/public...ngton-domicile

* 183 days--- Easy way to remember if on the west side... Is it raining today? If so, don't be in WA.

a bigger hit (for some)

Washington has the highest estate tax rates in the country, with a top rate of 20 percent for taxable estates valued above $9 million. Under current law, this adds 12 percent to the total tax burden (meaning a taxable estate of $50 million pays an extra tax of $6 million). For this reason, many ultrahigh net worth people consider moving out of Washington to a state with no estate tax.