Sales Tax Fundamentals
Get up to speed on the basics of sales tax
Is Shipping Taxable in Washington?
byJanuary 21, 2021
Last updated July 14, 2017
Many eCommerce sellers struggle with sales tax. It is both time-consuming and confusing, especially when you get to fussy subjects like whether you should charge sales tax on shipping. Let’s take a look at how Washington handles this topic for business owners.
So, is shipping taxable in Washington?
Washington State Legislature has this to say:
According to the state of Washington, you will pay tax on shipping. If the items that you are shipping are taxable, the shipping and handling are taxable. If you have taxable and non-taxable items like silverware and food items, there should be two charges and the fee needs to be fairly allocated between the shipping for the taxable silverware and the shipping for the non-taxable food. Only then is the shipping charge for the non-taxable food not taxable.
So in conclusion:
You will most likely pay sales tax on shipping and handling in Washington.
If you are selling an item that is taxable and you ship it, the shipping and handling is taxable. The only way it ISN’T taxable is:
- You are shipping non-taxable items like food.
- There are two separate charges for shipping, if you are shipping both taxable and non-taxable items. Each shipping fee must be balanced for the items shipped.
Other than that, you are going to have to pay sales tax on shipping and handling.
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Please note: This blog is for informational purposes only. Be advised that sales tax rules and laws are subject to change at any time. For specific sales tax advice regarding your business, contact a tax advisor.