CAPITAL GAINS TAX UPDATE: SUPREME COURT SHOULD PRIORITIZE OUR KIDS’ FUTURES

By Dr. Stephan Blanford

On January 26, I attended the Supreme Court hearing for Quinn v. State of Washington, a case that will decide whether our state’s capital gains excise tax will be upheld. Children’s Alliance has been closely following this case and joined with a number of other advocacy organizations to file an amicus brief in support of retaining the tax in December of last year. At the hearing, I heard powerful oral arguments from Solicitor General Noah Purcell and attorney Paul Lawrence supporting the constitutionality of the tax and refuting the claims made by the lawyers representing super wealthy individuals attempting to shirk their responsibility.

While I remain cautiously optimistic that the court will move to uphold the tax, it is crucial that we continue our advocacy in support of it. The Fair Start for Kids Act, which Children’s Alliance helped to conceive, and which drives $1 billion into early learning, would be decimated by a negative Supreme Court ruling.

Dr. Stephan Blanford speaking at a rally in support of the capital gains tax on the Capitol steps.

The capital gains tax is also an important step in making our tax code more fair and just. With it, we can begin to undo decades of historic and current racism and disinvestment that have hurt families, communities, and small businesses. Study after study has shown how racist policies impact the financial well-being of Black and brown people, and our tax code can help us reverse these consequences.

We can’t afford to roll back the capital gains tax and lose $500 million in funding for the Fair Start for Kids Act. And we can’t afford to lose this important tool for racial justice. The futures of thousands of Washington’s children will be directly impacted by the decision rendered by the Court. Children’s Alliance will watch the case closely and report on the final outcome, expected in the fall.