In his State of the State address, Washington Governor Bob Ferguson advocated for a millionaires' tax which would be imposed on individuals making more than $1 million in income in a single year. The gains would be used to increase the amount of the working families tax credit and lower taxes on small business owners. The governor proposes that business owners not pay business and occupation (B&O) tax until their gross income exceeds $1 million in revenue. State of the State Address, Office of the Governor, January 13, 2026