Editing Rob McKenna (section)

===Tax policy===
McKenna has, on several occasions, defended the "2/3 rule" requiring a two-thirds vote before any tax increases. He opposed I-1098, a ballot initiative to impose state income taxes on households earning more than $400,000. He supports increasing the Business & Occupation (B&O) tax credit to $4,800 per year for small businesses in all categories. Prior to a US Supreme Court ruling allowing such action; McKenna has proposed requiring out-of-state businesses that sell into Washington (including online and mail-order companies) to pay state taxes, even if they lack a physical presence there. {{When|date=November 2018}} Washington began collecting sales tax from out-of-state companies in 2018. On May 20, 2021, McKenna joined a lawsuit against a [[capital gains tax]] signed into law by [[List of governors of Washington|Washington governor]] and his [[2012 Washington gubernatorial election|2012]] gubernatorial opponent [[Jay Inslee]].<ref>{{cite news|title=Former Attorney General Rob McKenna joins lawsuit seeking to invalidate Washington state's capital gains tax|url=https://www.seattletimes.com/seattle-news/politics/former-attorney-general-rob-mckenna-joins-lawsuit-seeking-to-invalidate-capital-gains-tax/?amp=1|newspaper=[[The Seattle Times]]|date=May 20, 2021}}</ref> The lawsuit alleges that the tax is a state income tax in disguise and is unconstitutional due to precedent, with a graduated state income tax being declared unconstitutional in 1933. In September 2021, [[Grant County, Washington|Grant County]] superior court judge Brian Huber allowed this lawsuit to move forward.<ref>{{cite news|title=Challenge to Washington's capital gains tax can move forward, judge rules|url=https://www.seattletimes.com/seattle-news/politics/lawsuit-against-washingtons-new-capital-gains-tax-can-move-forward-judge-rules/?amp=1|newspaper=[[The Seattle Times]]|date=September 10, 2021}}</ref>