WILL
WILL CATCH UP IN LITTLE BIT. SMACKED I LOVE THE COSTUMES, I
CANNOT GET ENOUGH.
>> IN THE MEANTIME, WE GO TO
ANGELA FOR HER DEEP DIVE.
>>> IN RECENT MONTHS ON THE
SHOW, WE HAVE TALKED A LOT
ABOUT BEING TAXED OUT IN
WASHINGTON, THE SALES TAX AND
GASOLINE TAX HIGHEST IN THE
NATION, OVERALL, WHEN COMPARED
TO THE REST OF THE COUNTRY, OUR
TAX BURDEN RANKING IS IN THE
MIDDLE.
MIDDLE.
MIDDLE. WHAT GIVES?
WHAT GIVES? THAT IS TODAY'S FOCUS ON DEEP
DIVE.
DIVE.
DIVE. THERE'S A LOT MORE TO THIS TAX
STORY.
STORY.
STORY. MEET JEFF FOWLER, A
BUSINESSMAN, WHO BY GOVERNMENT
STANDARDS IS RICH.
>> HELLO.
>> HELLO.
>> HELLO. >> Reporter: THIS IS HIS LATTE
MACHINE.
MACHINE.
MACHINE. >> BRAZILIAN OR ETHIOPIAN BEANS?
>> Reporter: HIS CLOCKS ARE
ANALOG.
ANALOG.
ANALOG. >> THE MANTELPIECE IS FROM
ESSEX.
ESSEX.
ESSEX. >>
ESSEX. >> Reporter: AND YET, HE IS
RELATABLE.
RELATABLE. CHECK OUT THE INSTA POT, DELUXE
VERSION.
VERSION.
VERSION. >> I HAVE NO IDEA WHAT MAKES IT
DELUXE.
DELUXE.
DELUXE. >> Reporter: YEAH, LIFE IN THE
STATE OF WASHINGTON IS GOOD FOR
HIM, WHILE HE SITS AT THE TOP
OF THE FEDERAL TAX BRACKET,
MEANING A RATE OF 37%, IN THE
EVERGREEN STATE, IT IS
ESTIMATED ONLY 4% OF HIS INCOME
GOES TO STATE AND LOCAL TAXES
BUT HE WANTS TO PAY MORE.
WHY IN THE WORLD WOULD ANYONE
WANT TO PAY MORE TAXES? I MEAN,
IT IS NOT LIKE HE'S BILL GATES
OR JEFF BEZOS.
>> MY FAMILY, WE PLAY IN THE
SAME PARKS, GET STUCK IN THE
SAME TRAFFIC ON I-90, WE SHARE
THE SAME FRUSTRATIONS WITH THE
HOMELESSNESS CRISIS AND THE
REST, WE SHOULD PAY OUR FAIR
SHARE.
SHARE.
SHARE. >>
SHARE. >> Reporter: THIS IS WHAT HE'S
TALKING ABOUT, IN WASHINGTON,
INSTEAD OF AN INCOME TAX, WE
RELY ON OTHER TAXES LIKE THE
ONE WE ALL FEEL, THE SALES TAX
AND OUR SALES TAX IS THE 5th
HIGHEST IN THE COUNTRY, WHETHER
YOU'RE RICH OR POOR, YOU PAY
THE SAME RATE.
LET'S SAY YOU MAKE $44,000 A
YEAR, IN WASHINGTON, CLOSE TO
18% OF YOUR INCOME GOES TO LOCAL
TAXES BUT IF YOU MAKE BETWEEN
70 AND 100,000, 9% OF YOUR
INCOME GOES TO TAXES.
AND PEOPLE LIKE JEFF IN THE TOP
1% SPEND 3% OF THEIR INCOME ON
LOCAL TAXES.
LOCAL TAXES. THE MORE YOU MAKE, THE LOWER
YOU RATE.
YOU RATE.
YOU RATE. >> IT IS EMBARRASSING, THE
REALITY IS, OUR TAX CODE MAKES
PEOPLE MORE IMPOVERISHED.
>> Reporter: THIS IS THE
DIRECTOR OF THE WASHINGTON STATE
BUDGET AND POLICY SYSTEM, SHE
CALLS OUR TAX SYSTEM UPSIDE DOWN
AND POINTS TO THE NATIONAL
STANDARD OF TAXATION, WHERE THE
HIGHER YOUR INCOME, THE HIGHER
YOUR TAX RATE IF WE USE OUR 3
WORKERS AS EXAMPLES, THE PERSON
MAKING 24,000 WOULD PAY 12%,
IF HE OR SHE MAKES BETWEEN 70
AND 80,000, ROUGHLY 23%, AND A
PERSON MAKING MORE THAN 500,000
WOULD BE TAXED AT THE RATE OF
37%.
37%.
37%. DO
37%. DO YOU SEE THE DIFFERENCE?
GUESS WHAT, IN AN ANALYST THAT
NAMES THE 10 WORST STATES FOR
AVERAGE AMERICANS, IT WAS
WASHINGTON THAT CAME OUT ON
TOP.
TOP.
TOP. WE
TOP. WE ARE NOT SO DIFFERENT FROM
TEXAS.
TEXAS.
TEXAS. IN
TEXAS. IN ALL SERIOUSNESS, THIS IS WHY
JEFF AND OTHERS SUPPORT A BILL
TO TAX CAPITAL GAINS, THAT IS A
COMPLICATED WAY OF SELLING
SOMETHING SUPER EXPENSIVE LIKE
FINE ART OR STOCKS, THE STATE
WOULD TAX YOU ON YOUR PROFIT.
NOW, THE SALES OF TALK TAX IN
YOUR RETIREMENT ACCOUNT, HOME
OR LAND WOULD BE EXEMPT, THIS
BILL WOULD OBLIGATE THE STATE
TO SPEND THE MONEY ON EDUCATION
AND PROPERTY TAX RELIEF.
WHAT HAPPENS NOW IN WASHINGTON
WHEN YOU SELL SOMETHING SUPER
EXPENSIVE TAXI THERE'S A LITTLE
STORY ABOUT IT, NO PAIN, NO
CAPITAL GAINS.
CAPITAL GAINS. ONCE UPON A TIME, JEFF BEZOS,
THE RICHEST MAN IN THE WORLD
HAD AN IDEA, HE WANTED
DESPERATELY TO TRAVEL TO SPACE.
WHAT IF I COULD START SPACE
TOURISM, HE SAID, I WILL CALL
IT BLUE ORIGIN.
BUT HE KNEW IT WOULD TAKE MONEY
TO DEVELOP, SO HE TURNED TO THE
COMPANY THAT MADE HIM RICH AND
FAMOUS, AMAZON.
FAMOUS, AMAZON. EACH YEAR, JEFF SOLD $1 BILLION
WORTH OF AMAZON STOCK AND USED
THE MONEY TO HELP HIS SPACE
COMPANY.
COMPANY.
COMPANY. HE PAID TAXES TO THE FEDERAL
GOVERNMENT, BUT TO WASHINGTON,
NOTHING.
NOTHING.
NOTHING. >> Reporter: AND HEARS THIS, IF
THE LOT THE LATEST SLATER IS
CONSIDERING NOW ON THE BOOKS,
JEFF BEZOS WOULD HAVE PAID $70
MILLION A YEAR TO WASHINGTON
STATE.
STATE.
STATE. THIS IS NOT THE FAULT OF JEFF
BEZOS, THIS IS THE SYSTEM WE
HAVE IN PLACE.
>> LOW AND MIDDLE INCOME PEOPLE
IN WASHINGTON STATE FEEL THE
IMPACT OF OUR TAX CUT EVERY
DAY, AND THEY FEEL THAT WHEN
THEY GO TO THE STORE, THEY PAY
SALES TAX, THEY FEEL THAT IN
TERMS OF OUR LOCAL PROPERTY
TAXES AND WHAT WE'RE REALLY
TALKING ABOUT THIS YEAR THOUGH,
IS REFORMING OUR TAX CODE TO
MAKE SURE AGAIN, FOLKS WHO ARE
WEALTHY ARE PAYING MORE.
>> Reporter: JEFF SAID HE IS
WILLING TO PUT HIS MONEY WHERE
HIS MOUTH IS.
>> IF PEOPLE DON'T TALK ABOUT,
YES, THIS TAX WOULD IMPACT ME
AND I STILL SUPPORT IT BECAUSE
IT IS THE RIGHT THING TO DO,
WHO IS GOING TO CHAMPION IT?
>> Reporter: BACK TO THE
QUESTION THAT INITIALLY STARTED
THIS CONVERSATION, ARE WE TEXT
OUT?
OUT?
OUT? BY
OUT? BY THEM FROM DOING THESE
STORIES, IT IS A PERSONAL
QUESTION, BUT WHAT IS CLEAR