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Washington Sales Tax

On this page you will find handy sales and use tax information about Washington.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Washington that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

6.500%
Range of Local Rates

0.5% – 4.2%
Local Rates Apply to Use Tax

Yes
Remote Seller Nexus Rules
CLICK-THROUGH NEXUS

9/1/2015 – repealed effective 3/14/2019

REPORTING REQUIREMENTS

1/1/2018 – repealed effective 7/1/2019
ECONOMIC NEXUS

B&O Tax: 7/1/2017

Sales Tax as alternative to Notice/Reporting: 1/1/2018

Economic Nexus: 10/1/2018 – see state notice
MARKETPLACE NEXUS

1/1/2018
Sales Tax Amnesty
Status

Inactive

Amnesty Filing Dates

June 1, 2015 - June 30, 2015

Go to City of Tacoma Amnesty Page
AMNESTY INCLUSION PERIODS

Applies to local City of Tacoma business tax and license fees due April 30, 2015 or earlier.

TAX TYPES AND CONDITIONS

Local City of Tacoma business tax and license fees. The amnesty program applies to the following taxes: Business and Occupation (B&O) Taxes; Private Utility Taxes; Admissions Taxes; Gambling Taxes; Annual Business License Fees; Regulatory License Fees; and Unreported Liabilities.
AMNESTY BENEFITS

Interest and penalties waived, 50% of civil penalties waived.

Status

Inactive

Amnesty Filing Dates

February 1, 2011 to April 30, 2011

Go to Washington Amnesty Page
AMNESTY INCLUSION PERIODS

All tax liabilities due before February 1, 2011.

TAX TYPES AND CONDITIONS

Amnesty applies to state and local sales and use taxes, state business and occupation taxes, and state public utility taxes. Included in sales and use taxes are general retail sales and use taxes, rental car taxes, King County food and beverage tax, additional sales and use tax on sales and leases of motor vehicles, lodging taxes (not including tourism promotion area lodging charges), and brokered natural gas use tax. Application must be filed by April 18, 2011.
AMNESTY BENEFITS

Waiver of all interest and penalties for all tax returns due prior to November 25, 2010.

Status

Inactive

Amnesty Filing Dates

February 1- May 31, 2026

Go to Washington Amnesty Page
AMNESTY INCLUSION PERIODS

Limited four-year plus the current year lookback period for business and occupation (B&O) taxes and twelve months for uncollected retail sales tax

TAX TYPES AND CONDITIONS

The business must be headquartered outside of the United States, must not have an active registration with or have reported taxes to the Washington DOR in the statutory period (four years plus the current year), must not have been contacted by the DOR for enforcement purposes within the statutory period, and must not have engaged in tax evasion or misrepresentation. Businesses who have collected but not remitted sales tax will be subject to an unlimited lookback period and a 29% late payment of a return penalty only for collected and unremitted amounts.
AMNESTY BENEFITS

Limited lookback, waives up to 39% in potential penalties, and unremitted liabilities can be summarized by the DOR in a single assessment

Administration Information
Streamlined Sales Tax Status

Full Member
NUMBER OF TAXING AUTHORITIES

371 Sales Tax Jurisdictions
HOME RULE AUTHORITIES

N/A
Sales Tax Sourcing (Intrastate)

Destination
Sales Tax Return Due Date

25th of month following reporting period. Other filing periods: last day of month following reporting period.
Exemption Information
RESALE CERTIFICATE

Washington Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: food, prescription drugs, sales to nonresidents, manufacturers’ machinery and equipment, newspapers, and more

 

Entity types of exemptions: federal government sales, interstate and foreign sales, sales to Indians or Indian Tribes

 

Washington Exemption Certificate Forms
State Links
State Tax Web Page

Washington Department of Revenue
Rate Look-Up Page

Washington Sales Tax Rate Look-Up
Registration Link

Register for Washington Sales Tax
History & Fun Facts
HISTORY

Washington imposed its retail sales tax and compensating use tax to supplement the retail sales tax beginning in 1935.

 

Washington became a full member of the Streamlined Sales and Use Tax Agreement by conforming its legislation, effective July 1, 2008.
FUN FACTS
  • Washington has an enhanced food fish excise tax that commercial fishers may be liable for in addition to B&O tax. “Enhanced food fish” include species of food fish, shellfish, and anadromous game fish caught in Washington territorial and adjacent waters, and several other additional fish.
  • Washington does not impose a state income tax, however it does have a Business and Occupation (B&O) tax. This is in addition to retail sales tax on all sales subject to the retailing classification of the B&O Tax. The rate ranges from .471% to 1.5% depending upon the classification.

Washington Clarifies Reporting Requirements of Delivery Costs for Direct Mail.

A rule regarding Washington use tax on promotional material is modified to provide information about the responsibilities of both buyers and sellers that are directly related to delivery charges associated with direct mail. “Direct mail” includes tangible personal property supplied…

Washington Amends Direct Mail Delivery Charges.

Effective May 17, 2005, Washington retail sales and use and business and occupation (B&O) tax rules regarding delivery charges for direct mail have been modified to reflect recent statutory changes. A B&O tax deduction and a sales and use tax…

Washington Adds International Companies in Definition of “”Person”” Eligible for Various Tax Incentives.

A new section is added to Ch. 43.330 RCW (Department of Community, Trade, and Economic Development) indicating that international companies investing in Washington meet the statutory definition of “person” for purposes of the excise tax incentives provided in Title 82…

Washington Revises Advisory On Machinery and Equipment Exemption.

In response to questions concerning items eligible for the machinery and equipment exemption, the Washington Department of Revenue has issued an excise tax advisory answering these common inquiries. In the language of the machinery and equipment exemption, machinery and equipment…

Washington Rules That Business and Occupation Tax Manufacturing Rate Did Not Apply.

The Washington Supreme Court found that a manufacturer of canned chili was not subject to the Business and Occupation tax manufacturing rate of taxation, but instead could be taxed at a lower Business and Occupation rate related to perishable meat…

Washington: Tax Bill Includes Many Tax Changes.

Washington Governor Christine Gregoire recently signed legislation which includes a number of tax provisions, including sales and use and business and occupation (B&O) taxes. Some of the areas impacted include extended warranties (become taxable July 1, 2005), self-service laundry facilities…

Washington Issues Notice on Temporary Staffing.

The Washington Department of Revenue has issued a special notice addressing the taxability of temporary staffing firms. The Department of Revenue stated that it was and has always been their position that businesses that provide temporary workers are required to…

Washington Changes Treatment of Freight and Delivery Charges Effective 01/30/05.

The Washington Department of Revenue recently issued a change to WAC 458-20-110 (Rule 110) in regards to treatment of freight and delivery charges to keep in line with implementations of the Streamlined Sales and Use Tax Agreement. The specific language…

Washington makes distinction between maintenance agreements and warranties.

The State of Washington issued an excise tax advisory to provide assistance for taxpayers in clarifying the distinction between maintenance agreements and warranties. The Department provided a description of the maintenance agreement being a contract in which a vendor will…

Washington successor corporation liable for unpaid use tax.

The Washington Board of Tax Appeals found that a new construction company, Richardson Homes, was both a successor to Richardson Construction and was liable for unpaid use tax on equipment received from Richardson Construction. During the appeal Richardson Homes argued…

Washington provides tax exemption for commercial airplane manufacturers.

As of December 1, 2003 manufacturers of commercial airplanes or component parts of commercial airplanes qualify for a sales and use exemption on certain purchases. Purchases of qualifying computer hardware, software, computer peripherals, and service charges related to the installation…

Washington conforms its definition of tangible personal property to SSTP provisions but elects to exempt steam and electricity.

In an effort to comply with the provisions of the national Streamlined Sales and Use Tax Agreement, Washington has modified its definition of tangible personal property to include electricity and steam. The sale of electricity and steam were not subject…

Sales of electricity to a chlor-alkali or sodium chlorate electrolytic processing business used directly in the electrolytic process are tax exempt in Washington effective July 1, 2004.

In order for the exemption to be allowed the utility company must reduce the total charges for the electricity by an amount equal to the amount of the exemption. Other requirements must be met for the exemption to be allowed.…

Washington enacts exemption for computer equipment used in the printing or publishing of printed material.

Effective June 10, 2004, the printing and publishing industries will be able to realize the benefits of the machinery and equipment sales and use tax exemption to the same extent as other manufacturing industries. The state of Washington identifies that…

Washington has extended the period in which rural electric utility companies can take a credit for contributions made to an electric utility rural economic development revolving fund.

The previous ending date for this credit was December 31, 2005 and it has now been extended to June 30, 2011. The credit is for 50% of the contributions made by the utility company to the electric utility rural economic…

Washington extends ban on local taxation of Internet service providers.

Effective June 10, 2004, a city or town may not impose any new taxes or fees specific to Internet service providers until July 1, 2006 (formerly July 1, 2004). They may tax at a rate not to exceed the rate…

Washington bundled telecommunication services not taxable.

Effective June 10, 2004, Washington law allows exempt charges for telephone services to keep their exempt status when combined with charges for taxable services. In order for the exemption to stand, the provider must be able to determine what portion…

Appliances for apartments in Washington not considered real property.

A Washington company, when acquiring an apartment complex, also purchased several different appliances contained in the apartments and paid use tax on them since they were reported as tangible personal property. However, the company later decided to request a refund…

Washington aerospace industry benefits.

H.B. 2294 was approved by the Washington legislature on June 11, 2003. The bill, which includes various tax incentives aimed at the aerospace industry, is meant to improve the overall business climate of the state and improve the odds of…

Promotional material in Washington subject to use tax.

The Department of Revenue in Washington has extended the taxability for those who distribute articles of tangible personal property promoting the sale of products or services. These items continue to be now subject to use tax on the value of…

Washington machinery and equipment exemption.

A tax advisory has been issued regarding the manufacturing exemption for computer hardware and peripherals. These items qualify for the exemption if they are used directly in a “qualifying” manufacturing operation. The advisory has a definition for “qualifying” operations that…

Washington B&O taxes.

Legislation has been enacted exempting certain remote sellers from Washington’s Business and Occupation tax. These sellers, who have limited connections to the state, are not required to collect tax if their activities in the state are conducted electronically via a…

Washington service taxability.

When a service is performed outside the state on tangible personal property used in Washington the service will become subject to use tax as of June 1, 2002. Such services include installing, repairing, cleaning, altering, imprinting, or improving tangible personal…

Washington imposes excise tax.

A 911 excise tax of 20 cents per month is imposed as of January 1, 2003 on each radio access (wireless) line whose primary place of use is located within the state of Washington. Currently, a state enhanced 911 excise…