Washington State Capital Gains Tax Poised to Survive Ballot Test

Washington state’s capital gains tax has raised more than $1.2 billion in two years for education and overcome a major legal challenge. Now facing a threat at the ballot box, it appears likely to survive again.

Two October polls showed more than half of Washington voters opposed Initiative 2109, which would repeal the tax, while less than 30% supported the ballot question.

The measure was trailing despite the $7 million spent by its proponent, a conservative group called Let’s Go Washington. The group, founded by money manager Brian Heywood, placed the capital gains tax repeal and three other ...