Washington State Governor Jay Inslee (D) on May 21 signed several tax bills that will significantly affect most Washington taxpayers. These bills:
The B&O tax rates for a number of activities in Washington have increased significantly, especially for taxpayers filing under the service and other activities classification. Accordingly, it is important to consider whether your business might be more favorably taxed if deemed to fall in a different classification. Businesses with any income taxable under the service and other activities category should review the 43 enumerated business activities to analyze the applicability of the ESSHB 2158 surcharges.