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Book your demoHow to register for a sales tax permit in Washington
For more information about collecting and remitting sales tax in Washington, check out Washington Sales Tax Resources.
How to register for a sales tax permit in Washington
1. Determine if you need a permit
From the Washington State Department of Revenue website:
- Generally, a retail sale is the sale of tangible personal property. It is also the sale of services such as installation, repair, cleaning, altering, improving, construction, and decorating. Other services include improving real or personal property, amusement and recreational activities, lawn maintenance, and physical fitness activities.
- Retail sales tax includes the state and local components of the tax.
- Sales tax amounts collected are considered trust funds and must be remitted to the Department of Revenue.
- The seller is liable to the Department of Revenue for sales tax, whether or not it is collected.
- Use tax is paid by the consumer when the retail sales tax was not collected by the seller/service provider.
- Businesses that make a purchase for resale must provide a reseller permit to the seller. If not, the seller must charge the buyer retail sales tax on the total purchase.
- Businesses also pay the retail sales tax on purchases of items for their own use (such as supplies or equipment) that will not be resold in the regular course of business.
Similarly, when a business purchases a retailing service for its own use, it must pay sales tax on the purchase.
2. Register with the Washington Department of Revenue or via TaxJar
The state of Washington has a website specifically for attaining your business license and permits, including sales tax. However, Washington does not offer a standard sales tax permit; instead, businesses need to register for a business license and then manage their taxation obligations through the Washington Department of Revenue. Head to the Business License Application to get started.
If you’d rather submit your paperwork via mail, first download and print out the Business License Application. Total up your applicable fees (the state of Washington has a variable fee system for registering a business (and procure a business license). However, tax registration is free.
State of Washington
Business Licensing Service
PO Box 9034
Olympia, WA 98507-9034
1-800-451-7985
Want to automate this step? You can also use TaxJar to register for a business license.
Let TaxJar manage your sales tax registrations
Before you can collect sales tax from customers, you must first register for a sales tax permit with the state. However, this process can be cumbersome and time consuming. See how TaxJar can manage this registration process for you.
3. What information do you need for a business license in Washington?
- Ownership structure
- Federal Employer Identification Number (EIN)
- Business name
- Owners & spouses
- Business info, including location, business activities, bank name, etc.
- Employment/Elective Coverage
4. Create a reminder to renew your Washington sales tax permit
Business licenses must be renewed in Washington state.
An expiration date is printed on the top right-hand corner of your Business License document. The Business Licensing Service will send you a renewal notice about a month days before your license expires. It’s your responsibility to renew on time, whether you receive the renewal form or not. Registration delinquency could lead to fines or having your business listed as ‘inactive.’ You also could face additional penalties and/or legal consequences if you operate without an active license.
Applying for a sales tax permit as an out-of-state seller
Businesses and sellers located out of the state must collect and remit sales tax to the state of Washington when they reach the $100,000 economic nexus threshold. In addition, out-of-state sellers must register for a business license in Washington when they make sales in the state. This application also serves as a registration with the Department of Revenue.
To learn more about Washington sales tax, read our Washington Guide for Businesses, or find the best contact number to call the Washington Department of Revenue
FAQ: Registering for a business license in Washington
Explore our frequently asked questions and find the answers you need about applying for a business license in Washington and your sales tax obligations.
Washington requires businesses – including out-of-state sellers that reach the economic nexus threshold – to register for a business license. This registration allows businesses to process sales tax returns and remit payment to the Washington Department of Revenue.
Filing for a permit online typically offers a faster and more streamlined timeline. Those applying via mail should anticipate a three-week timeline (or longer).
Yes. Even though marketplace facilitators like Amazon collect and remit Washington sales tax on behalf of third-party sellers, you are still required to hold a valid Washington business license once you reach economic nexus in the state. You’ll also need to file sales tax returns by the due date and pay Washington’s B&O tax.
The state of Washington requires businesses to renew their business license annually. If the license lapses, fees may accrue, the business may be listed as inactive and other penalties could result.
Businesses must register for a business license and pay both sales tax and B&O tax if they hold either physical or economic nexus in the state of Washington.
While Washington doesn’t require businesses to register for a sales tax permit, all businesses – even remote sellers – must register for a business license if they sell goods or taxable services in the state. Business owners can use TaxJar to simplify the registration process; TaxJar offers automated services that include business license and sales tax registration.
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