Job Corps operators and service providers

Job Corps operators and service providers are exempt from Washington state excise taxes on activities related to the operation of a Job Corps center and on services provided by a Job Corps center.

What is a Job Corps operator or service provider?

A Job Corps operator or service provider is an entity (including businesses or nonprofit organizations) that has entered into an agreement with the U.S. Department of Labor to provide services to a Job Corps center or to operate a Job Corps center.

Retail sales tax and use tax exemptions: Job Corps operators and service providers do not pay retail sales tax or use tax on their purchases or the use of goods and retail services for their operation.

Business and occupation (B&O) tax exemption: Job Corps operators and services providers are exempt from paying B&O tax on the gross income received from their operation.

The exemptions are provided by federal law (See Workforce Innovation and Opportunity Act (“WIOA”), and 29 U.S.C. §§ 3191 – 3212). The state of Washington cannot tax activities it is prohibited from taxing under such law (See RCW 82.04.4286, RCW 82.08.0254, and RCW 82.12.0255).

Note: Job Corps operators and service providers are subject to B&O tax, retail sales tax, and use tax on their business activities that are not from the operation of a Job Corps center or services provided to a Job Corps center, unless another tax exemption applies.

How to document tax exempt sales to Job Corps operators and service providers

To document the sales tax exemption, a Job Corps operator or service provider may provide a properly completed Streamlined Sales Tax (SST) Exemption Certificate. Under Section 4 (Reason for Exemption), the operator or service provider should check box 4A (Federal Government) and write “Job Corps center through US Department of Labor” in the blank.

More information

RCW 82.04.4286

RCW 82.08.0254

RCW 82.12.0255

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