Washington State Democrats accidentally leaked internal tax plans, revealing proposals for new and increased taxes, including a reclassification of self-storage rentals as a retail transaction. The document, obtained by Fox News, outlined strategies for framing tax hikes in a more favorable light to constituents. Critics argue these tax increases contradict campaign promises and may negatively impact residents and businesses.

Washington House Bill (HB) 1907 seeks to reclassify self-storage rentals as retail transactions, thereby removing the current tax exemptions for these services. If passed, the bill would subject self-storage operations to sales tax and business & occupation (B&O) tax, potentially increasing customer costs by up to 10%.

While the bill is intended to help fill the state’s budget shortfall and potentially fund affordable housing programs, it has faced significant opposition from the Washington Self Storage Association (WASSA) and industry professionals, who argue it imposes unfair financial burdens and may be constitutionally questionable.