Reporting thresholds for Oct. 1, 2018 through Dec. 31, 2018

The following nexus thresholds apply to sales delivered or sourced to Washington and income apportioned to Washington for the period starting Oct. 1, 2018 through Dec. 31, 2018. If your business meets any of the following thresholds, your business must register and report for this period.

Changes that impact this period

Effective Oct. 1, 2018, Washington adopted the following thresholds in response to the Wayfair decision:

  • $100,000 or more in retail sales delivered or sourced to Washington consumers.
  • 200 or more retail transactions with Washington consumers.

Retail sales tax

You meet at least one of the following thresholds in 2017 or 2018:

  • Physical presence.
  • $100,000 or more in retail sales delivered or sourced to Washington.
  • 200 or more retail transactions delivered or sourced to Washington.

Retailing B&O tax

You meet at least one of the following thresholds:

  • Physical presence in 2017 or 2018.
  • More than $267,000 of gross receipts sourced or attributed to Washington in 2017, $285,000 in 2018.
  • At least 25 percent of your total receipts is in Washington in 2017 or 2018.

Wholesaling B&O tax

You meet at least one of the following thresholds:

  • An individual that is a resident of this state or an entity that is organized or commercially domiciled in Washington in 2017 or 2018.
  • More than $267,000 of gross receipts sourced or attributed to Washington in 2017, $285,000 in 2018.
  • More than $53,000 of payroll in Washington in 2017, $57,000 in 2018.
  • More than $53,000 of property in Washington in 2017, $57,000 in 2018.
  • At least 25 percent of your total receipts, payroll, or property is in Washington in 2017 or 2018.

Service and other activities (and other apportionable activities) B&O tax

You meet at least one of the following thresholds:​

  • An individual that is a resident of this state or an entity that is organized or commercially domiciled in Washington in 2017 or 2018.
  • More than $267,000 of gross receipts sourced or attributed to Washington in 2017, $285,000 in 2018.
  • More than $53,000 of payroll in Washington in 2017, $57,000 in 2018.
  • More than $53,000 of property in Washington in 2017, $57,000 in 2018.
  • At least 25 percent of your total receipts, payroll, or property is in Washington in 2017 or 2018.

More information

  • If the business did not have nexus with Washington in 2017, and it meets any of the thresholds in 2018, it must begin reporting after the threshold is met. For example, the business only owes B&O tax on its Washington receipts that exceed the $285,000 threshold in 2018.
  • In determining whether a business has exceeded a receipts threshold, apportionable income attributed to Washington is included along with its retail and wholesale sales sourced to this state.
  • RCW 82.08.052.
  • Article: Determining the retail sales tax registration threshold for out-of-state businesses.
  • Wayfair’s impact on the Marketplace Fairness Act.
  • Contact the Department regarding your registration requirements prior to registering if you are a remote seller without physical presence in Washington and your business had between $10,000 and $100,000 retail sales delivered or sourced to Washington in 2017 or 2018. See election and notice and reporting requirements in Engrossed House Bill 2163 (Chapter 28, Laws of 2017).
  • Substitute Senate Bill 5581 (Chapter 8, Laws of 2019).
  • Excise Tax Advisory (ETA) 3195.2020.