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Washington State Destination Based Sales Tax

Prior to July 1, 2008, sales tax was based on the state of origin, at least in Washington State. Effective July 1, 2008, with the passage of the Substitute Senate Bill 5089 (“Streamlined Sales Tax”), Washington changed from an origin-based system for local retail sales tax to a destination-based system.

Here are some links with more info:

Department of Revenue - Washington State

I’ll be writing more about this soon as well as giving my thoughts on how this affects online businesses and those marketing online. I’ll try to include any suggestions on any changes you’ll need to make to your business as well.

For now, there may be huge implications if you operate affiliate programs both within Washington State and if you send to Washington State.

 

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