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WashingtonSales Tax

A Complete Guide For Businesses

Automate My WashingtonSales Tax Filings

State Rate
6.50%

Local Tax
yes

State Portal
Department of Revenue

Phone
(800) 647-7706

General requirements

Washington is a destination-based state (sales are taxed where the buyer is located).

  • Sales tax is charged on the sale of tangible personal property (TPP) and digital products, including items produced, fabricated, or imprinted
  • It also includes sales of services, such as installing, repairing, cleaning, altering, improving, constructing, and/or decorating real or personal property of or for consumers
  • Certain services are specifically defined in the law to be retail sales, such as charges for transient lodging, automobile parking, title, and escrow services, touring services, extended warranties, and use of athletic or physical fitness facilities
  • Sales made for resale at retail are not taxed

Businesses may file returns and pay taxes online at MyDOR.

Rates

The state general sales tax rate is 6.5%. Local retail sales tax, ranging from 0.5% to 3.1% is collected by retailers along with the state tax. In some areas, special taxes may apply.

How food is taxed

Food and food ingredients are generally exempt from sales tax in the state. The exemption does not apply to prepared foods, candy, soft drinks, or bottled water.

Nexus in Washington

Nexus-creating activities in the state include, but are not limited to:

  • Soliciting sales in Washington through employees or other representatives
  • Installing or assembling goods in Washington, either by employees or other representatives
  • Maintaining inventory in Washington
  • Renting or leasing tangible personal property in Washington
  • Providing services in Washington
  • Constructing, installing, repairing, maintaining real property or tangible personal property in Washington
  • Making deliveries into Washington using company-owned vehicles

Find out more about nexus in Washington.

Filing schedule

Filing frequencies are assigned based on your estimated yearly business income. Due dates are as follows:

  • Annual filers: Returns are due January 31
  • Quarterly filers: Returns are due on the end of the following month
  • Monthly filers: Returns are due on the 25th of the following month

Registering to collect sales tax in Washington

To register your business with the Department of Revenue and other state agencies, use My DOR, the state’s online business tax and licensing system.

Once registered, you will receive a business license and Unified Business Identifier (UBI) number from the Business Licensing Service. You’ll also receive a letter from the Department of Revenue with your UBI/account ID and filing frequency.

Penalties

The penalties for late payments are:

  • 9% after the due date until the last day of the month following the due date
  • 19% after the last day of the month following the due date
  • 29% after the last day of the second month following the due date, and anything after

The interest rate on late payments changes annually. The current rate is 3%.

See how easy it is to automate your sales tax filings.

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