Inslee Proposes Carbon, Capital Gains Taxes for Education

TACOMA (AP) — Gov. Jay Inslee is proposing that the state spend $2.7 billion over the next two years to increase salaries for teachers and to fully fund the state's basic education obligations as a court deadline looms.

In his proposal released Tuesday, Inslee seeks more than $4 billion in new revenue, with a majority of it — about $3.9 billion — dedicated to education-related costs.

The new revenue he seeks includes:

—An increase in the business and occupation tax on services provided by accountants.

—A carbon tax that would charge the state's emitters $25 per metric ton starting in 2018, raising $2 billion, of which $1 billion would go toward the education plan

—A 7.9 percent capital gains tax on earnings from the sale of stocks, bonds and other assets above $25,000 for individuals and $50,000 for those who file jointly.