Washington state millionaires are increasingly eyeing Florida real estate to escape a changing tax landscape in the Pacific Northwest, according to a luxury real estate expert."I would say that the first thing is taxes.Income tax in Florida is 0%, and in Washington state, it's 9.9% as of January 2028," Margit Brandt, a luxury property specialist, told Fox News Digital."Capital gains in Florida is also 0%, and in Washington state, it's 7%.
I just think that they've created this really punitive tax environment that's unappealing to the high-net-worth individuals who are the high earners in Washington State, and that's been the biggest kind of feeder for our market here," she added.Washington's capital gains tax is tiered, with the first $1 million in taxable Washington capital gains subject to a 7% rate and amounts above $1 million subject to a 9.9% rate.Real estate is exempt from the tax.TRUCKING COMPANY OWNER SUING STATE OVER 'MILLIONAIRES TAX' SAYS POLICY HITS SMALL BUSINESSESFlorida has emerged as one of the nation’s biggest winners in America’s migration boom, drawing residents and billions in income from across the country.
(Jeffrey Greenberg/Universal Images Group/Getty Images)The push comes after the Democratic-controlled Washington Legislature passed, and Gov.Bob Ferguson signed, a 9.9% levy on annual adjusted gross income above the law's $1 million threshold.
Set to take effect on Jan.1, 2028 — with initial returns due in April 2029 — the legislation marks a major change for a state that currently has no individual income tax.The tax is already facing a court challenge over its constitutionality, while real estate insiders say the new law is influencing some wealthy residents' relocation decisions.SEATTLE MAYOR SHRUGS OFF MILLIONAIRE-TAX CONCERNS AS 44% OF BUSINESS LEADERS CONSIDER LEAVINGWashington State's new income tax is facing legal challenges, as some claim it violates the state Constitution.
(Joe Sohm/Visions of America/Universal Images Gr...