B&O Tax

Washington State has no income tax. Instead it has a business and occupation (B&O) tax.

Washington State B&O Tax

 The State of Washington taxes individuals, corporations and even Tax-Exempt Organizations conducting business in the state.  The Business & Occupation (B&O) tax is a gross receipts tax; therefore, businesses cannot offset their tax base with expenses.  Rates vary based upon the line of business that earns the revenue.  For example, the Department of Revenue taxes manufacturing and sales revenue at a rate much lower than service revenue.

Many out of state businesses are unaware of their obligation to pay the B&O tax because their connection to Washington is minimal.  However, even small contacts within the state may expose a business to the Washington B&O Tax.  At times, the Washington State Department of Revenue oversteps its taxing bounds and improperly assesses taxes on these businesses.  Tollefsen Law has the experienced and capable attorneys to help correct errors, resolve tax disputes, and protect your businesses revenues.

If the Washington State Department of Revenue audited or assessed your business B&O Tax, contact Tollefsen Law today.  Quick action must be taken to allow you the opportunity to appeal the determination and protect your revenue.

 More information from the Department of Revenue

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