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House committee hears divided views on social-media tax to fund youth behavioral health
Summary
Lawmakers heard staff and sponsor briefings and hours of public testimony on HB 2038, a proposed 0.4% additional B&O tax on social‑media platforms that would fund a Youth Behavioral Health Account. Youth advocates urged investment; industry groups warned the targeted tax could be unlawful and counterproductive.
The House Finance Committee heard a briefing and public testimony on House Bill 2,038 on Jan. 30. Staff told the committee the proposal would impose an additional business-and-occupation tax equal to 0.4% of gross income reported under retailing and service classifications for businesses "operating a social media platform," effective Jan. 1, 2027, with receipts deposited into a new Youth Behavioral Health Account for programs aligned to the Washington Thriving plan.
Representative Lisa Kallen, the prime sponsor, cited public‑record research and state…
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