OLYMPIA – In a 9-0 decision, the Washington State Supreme Court today upheld a package of tax increases that lawmakers passed in 2005 including a $1.33 tax on liters of spirits.

The Washington State Farm Bureau and other groups filed a legal challenge to the increase, claiming the state had illegally bumped up Initiative 601’s spending limit by shifting $250 million between state accounts. A lower court agreed with the Farm Bureau in 2006.

Following an appeal to the state’s highest court, the Supreme Court overruled the lower court’s ruling stating one state law can’t bind the Legislature from changing laws in the future.

The Liquor Control Board had advised customers to retain their receipts in the event the taxes would have to be refunded. The decision means the liter tax on spirits will continue in effect and refunds will not be issued.

Nov. 21 Supreme Court Decision

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