We model every scenario — law stands, law repealed, law modified — and hand you a written action plan for each one.
You leave the diagnostic knowing exactly what you owe, what you save with each option, and what you do next. No ambiguity. No generic advice.
We prepare the moves that only make sense if the tax stays, so nothing is committed before you know the outcome.
Some steps lose value if you wait until 2028. We identify what has to be in place this year to count later.
| Household taxable income | Single filer liability | Married / joint liability | Effective WA rate |
|---|---|---|---|
| $1,500,000 | $49,500 | $49,500 | 3.3% |
| $2,500,000 | $148,500 | $148,500 | 5.9% |
| $5,000,000 | $396,000 | $396,000 | 7.9% |
| $10,000,000 | $891,000 | $891,000 | 8.9% |
| Two earners, $750,000 each Marriage penalty |
$0 (filed individually) | $49,500 (married/joint) | 3.3% |
Single and married/joint liability are identical at a given household income because the $1,000,000 threshold is not doubled for couples. The highlighted row shows the consequence: two single earners at $750,000 owe nothing on their own, but the same two people filing jointly are taxed on the $500,000 above the threshold.
Paying state tax at the entity level can make it federally deductible for some owners. Whether this applies and what it saves depends on your facts.
When RSU vesting income and the millionaires tax land in the same tax year, most advisors plan for one. We model both at once and produce a written plan built around your specific equity event timeline. Figures below are illustrative estimates.
Capital Tax has published the Pre-IPO Equity and Tax Readiness Checklist at capitaltax.com — designed to be used alongside this millionaires tax planning framework.
Most tax consultations end with general guidance and a follow-up proposal. Ours ends with a written scenario analysis covering your specific situation across every possible outcome of the millionaires tax.
A precise 2028–2030 Washington tax estimate based on your actual income structure, not a rule of thumb.
Law stands, law repealed, law modified — each with the mitigation options that fit that outcome.
The one to three actions most material to your situation, in order, with the deadlines that govern them.
Which structures to hold, accelerate, or pause depending on the ballot and litigation outcome.
A pass-through entity tax election can make state tax federally deductible for some business owners. Estimate the effect below. Every calculation runs in your browser — nothing is sent to any server.
This estimate is for general illustrative purposes only. It does not constitute tax advice. Individual results will vary. Consult a qualified tax advisor before making any elections.
Decision gate: November 2026 ballot results determine which structures to hold, accelerate, or pause.
The audit trail for 2029 returns starts now. Documentation created in 2026 is defensible. Documentation reconstructed in 2028 is not.
Where you actually live most of the year, supported by a home that is genuinely your center of life.
Where your work, board seats, licenses, and business operations are based and conducted.
Where your household, community involvement, and day-to-day relationships are centered.
Banking, advisors, and key financial relationships aligned with the new state of domicile.
Contemporaneous records — travel logs, registrations, filings — kept consistently from day one.
A file organized the way a state examiner reviews it, so the facts speak for themselves.
Clients advised on multi-state tax matters
Disciplines integrated into one plan
Months remaining before the 2028 effective date
Analysis current as of April 2026. Updated as the law evolves.
Both options below are free. Both leave you with something concrete.
If the tax is repealed or struck down, structures created specifically to mitigate it may become unnecessary. Planning for both outcomes lets you hold trigger-ready structures rather than commit early, with a November 2026 decision gate to reassess.
The millionaires tax and Washington’s existing capital gains tax are separate measures that can both apply in the same year — especially during a liquidity event. Coordinating the timing and character of income across both is part of an integrated plan and depends on your specific facts.
Washington residents and business owners with household income above $1,000,000, including Seattle-area technology employees facing both an IPO liquidity event and the new tax in the same year. Engagements coordinate income tax, entity structuring, estate planning, and equity compensation.
