# WA Unions Fund Tax Fight > Public-sector unions spend millions to keep Washington's new millionaires tax. - Title: WA Unions Fund Tax Fight · Seattletimes | Shortify - Summary: Public-sector unions spend millions to keep Washington's new millionaires tax. Washington teachers and healthcare unions donated $3 million to block repeal… - Keywords: wa unions, seattle, seattle times, initiative 645, income tax, public sector, tax code, millionaires tax, vote yes repeal, no on 645, news, local - Source: Seattletimes — https://seattletimes.com/seattle-news/politics/wa-unions-spend-big-to-keep-millionaires-tax - Read time: 1 min - Topics: wa unions, seattle, seattle times, initiative 645, income tax, public sector, tax code, millionaires tax, vote yes repeal, no on 645, news, local ## WA unions fund tax fight Washington Education Association donated $2 million to the campaign against Initiative 645. > The Washington Education Association plopped $2 million last week into the campaign against Initiative 645 ## Unions lead tax defense Public-sector unions have contributed seven-figure checks to the No on 645 campaign. > Unions representing state employees and publicly funded healthcare workers have also contributed seven-figure checks ## Campaign funds No on 645 campaign raised $7.8 million, Vote Yes raised $1.3 million. > In all, the No on Initiative 645 campaign has raised $7.8 million, far outpacing the $1.3 million for the Vote Yes Repeal the Income Tax campaign ## Tax impact New income tax imposes 9.9% levy on earnings above $1 million. > The new income tax, dubbed the "millionaires tax" by supporters, imposes a 9.9% levy on annual household earnings above $1 million ## Tax revenue timeline Tax collections start in 2029, but won't begin until 2029. > It’s projected to bring in more than $3 billion a year, but collections won’t start until 2029 ## State budget pressures State faces financial pressures despite new taxes. > Financial pressures are growing on the state budget despite billions in new taxes ## Union response Teachers union says tax repeal would hurt schools. > Tani Lindquist, vice president of the teachers union, said educators fear a repeal of the new tax would punch a multibillion-dollar hole in the state budget ## SEIU 775 SEIU 775 represents long-term care workers. > SEIU 775, which represents long-term care workers, is also negotiating with the state over higher wages for its members ## Tax benefits Tax funds state budget and childcare subsidies. > Proceeds from the high-earners income tax, which will be paid by an estimated 25,000 households, will be mostly devoted to the general state operating budget ## Business opposition Business owners fund tax repeal campaign. > Business owners are bankrolling a so-far smaller campaign to persuade voters to vote "yes" to repeal the tax ## Business concerns Businesses cite economic pressures to move elsewhere. > Meg Gluth, who owns Catalynt, an Edmonds-based chemical and manufacturing company, said the business and tax climate is leading her to pull back on investments in Washington ## Tax repeal impact Tax repeal would give millionaires tax breaks. > The ad laments the state’s "upside-down tax code" and argues I-645 would give millionaires and billionaires a tax break while the rest of us pay more ## Key takeaway Washington teachers and healthcare unions donated $3 million to block repeal of a high-earners income tax that would cost the state billions if passed.