Washington

Sales Tax

  • Statewide: 6.5%
  • Municipalities can levy sales tax of no more than 4.0%.
  • Current average sales tax (with local taxes included): 8.89%
  • Common Exceptions at State Level:
    • Unprepared Food: Exempt
    • Prepared Food: 10%
    • Prescription Drugs: Exempt
  • Vehicle Tax: 6.8%
  • Gasoline Tax: 67.80 cents/gallon (includes all state, local, and federal taxes)
  • Diesel Fuel Tax: 73.80 cents/gallon (Includes all state, local, and federal taxes)

 

Personal Income Tax

  • Long-term net capital gains of over $250,000 taxed at 7%.  

 

Property Tax

  • Local municipalities average 0.94% of the property's assessed value.
  • Calculation of assessed value: Fair market value; revalued every year. Tax rate limited to 1% of market value but excludes special levies approved by voters.
  • Relief Programs:
    • 61 and over or Disabled (Veterans must have 80% service-connected disability)/Surviving Spouses: Exemption dependent on income and assessed value. Freeze on property value, all special levies exempt, and possible reduction of regular levies. Household income of less than $40,000 determines eligibility. Deferral program also available if over 60 or disabled.
    • Low Income: Deferral program available, dependent on income. 
    • Veteran's Surviving Spouse: Assistance in paying taxes if meet certain requirements.
  • Personal Property Tax: Yes. Rates and exemptions are at the discretion of individual municipalities.

 

Inheritance & Estate Taxes:  Estates over $2.193 million are taxed between 10% and 20%. There is no inheritance tax.

 

Department of Revenue website: www.dor.wa.gov

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