Senate Democrats’ proposal to enact a commonsense tax on people making more than $1 million annually is excellent news for the people of Washington. Our state has the country’s second-most upside-down tax code, meaning that people with low incomes pay the highest share in taxes while the ultra-wealthy get a special deal. The Millionaires Tax proposal is a smart way to address this inequity. It builds on progress advocates have made in recent years toward fixing the tax code to better fund our communities.

Fewer than 1% of households in our state would pay this tax, which would help fund vital public programs that serve us all, like schools, child care, and health care. Funding from the bill would also provide targeted support to low-income households through an expansion of the Working Families Tax Credit, an annual cash rebate that currently supports the well-being of one in four kids in Washington. Expanding this tax credit would help families hit hardest by our state’s affordability crisis.

The Millionaires Tax would generate an estimated $3.7 billion annually for our state budget, starting in 2029.

Polls and public sentiment continue to show that people want ultra-wealthy people to pay what they owe in taxes. In a state where so many corporate executives make exorbitant amounts of wealth thanks to our workers, it’s unfathomable that the super-rich get a special deal in our tax code. This is especially stark when we know so many everyday, working people, seniors, and small businesses are struggling.

Washington’s wealthiest just received huge tax breaks from the Congressional Republicans’ megabill last summer. Rather than continuing to hoard their extraordinary wealth, they can do what’s right for their neighbors and communities and pay their share in taxes.

The Millionaires Tax will make our tax code less upside-down, provide a cash boost to many households, and help fund the programs that make our state a great place to live. Lawmakers must pass this bill this session.