FOR IMMEDIATE RELEASE: January 19, 2018
Contact: John Murray, 202-821-2219 | email@example.com
ICYMI: 20,000 New State Jobs and $85 Million in Additional Revenue for State Budget Thanks to Tax Reform.
State budget writers receive good news
Jason Mercier, Washington Policy Center
January 19, 2018
Thanks to the recent passage of federal tax reform the state is projected to have more than 20,000 new jobs per year and approximately $85 million in additional revenue for the budget. This according to the state’s Chief Economist Steve Lerch. Lerch provided this good news to the Senate Ways & Means Committee yesterday. Here are additional details from his presentation:
- “Assuming JCT estimate of tax reform impact on employment of 0.6%, Washington employment would be roughly 20,000 to 21,000 jobs per year higher than our November 2017 forecast. For 2018, this would mean total nonfarm employment of 3,440,000 in Washington.
- Assuming JCT estimate of tax reform impact on business investment of 0.9%, Washington business capital investment would be $500 to $700 million higher in 2018.
- Washington share of personal tax cuts in 2018 would be roughly $3.3 billion, or 0.8% of personal income.
- Ballpark impact on revenue collections in 2018: $85 million.
Lerch also told the Ways & Means Committee the state’s November revenue forecast didn’t assume passage of federal tax reform. This means the state’s February revenue forecast will likely include these projected higher state job and revenue growth numbers as result of its adoption.
To read more from the report, click here.
The Opportunity for All Coalition is a non-profit 501(c)4 organization whose mission is to support a legal challenge to the recently passed Seattle income tax.