hawaii capital gains tax increase
Short-term capital gains on assets sold one year or less after they were acquired are taxed at the owners ordinary income tax rate whereas long-term gains on assets held for more than a year. The ruling by Inslee appointed Judge Huber that the capital gains income tax is unconstitutional is no.
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Huber ruled that the tax on capital gains was properly characterized as an income taxrather than as an excise tax as argued by the State and thus struck it down as Washingtons constitutions uniformity clause does not allow income to be taxed at different rates.
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