Washington D.C. is a destination-based state (sales are taxed where the buyer is located).
Businesses may file online at the MyTax.DC portal.
The state’s base sales tax rate is 5.75%. There is no additional local sales tax.
Grocery-type food items are generally tax exempt, while prepared foods are taxed at a rate of 10%. Liquor sold for consumption on and off the premises is also taxed at a rate of 10%.
Businesses establish a minimum tax connection to the state if any of the following apply:
Find out more about nexus in Washington D.C..
Due dates are as follows:
Penalties are charged on late returns and payments as follows: