This bill amends the Washington estate tax law by adjusting the applicable exclusion amounts for inflation and establishing a new framework for future adjustments. The bill reenacts and amends RCW 83.100.020, updating the applicable exclusion amounts for decedents dying between 2006 and 2026. Specifically, it sets the exclusion amount at $1,500,000 for decedents dying before January 1, 2006, and increases it incrementally for subsequent years, reaching $2,959,000 for estates of decedents dying on or after August 1, 2025. Additionally, the bill mandates that for estates of decedents dying in calendar year 2026 and thereafter, the exclusion amount will be adjusted annually based on the consumer price index.

The bill also clarifies the definition of "consumer price index" and specifies that adjustments will be made based on the Seattle area index. It includes a provision that no adjustment will be made if it results in the same or a lesser exclusion amount than the previous year. Furthermore, the bill states that RCW 82.32.805 and 82.32.808 do not apply to this act and establishes an effective date of August 1, 2025.