As of August 1, 2017, sales of bottled water are subject to sales or use tax.
Bottled Water Defined
Bottled water tax is applicable on prepacked bottled water sold in a safety-sealed container or package that is without calories and does not contain any additives. Bottled water includes water that is delivered in sealed and reusable containers. Bottled water does not include ice or water that is dispensed from a self-service dispenser.
Sellers do not need to collect sales tax if a buyer is making purchases through the SNAP program, formerly known as the food stamp program.
In the following cases, the collection of sales tax on bottled water are exempt:
- Water is purchased because there is no clean water supply, or safe water for human consumption.
- Water is purchased because of a prescription
In the above situations, the seller must review either a Buyer’s Retail Sales Tax Exemption Certificate or a Streamlined Sales Tax Exemption Certificate from the buyer.
The seller must check off “bottled water tax exemption” and “other” on their tax return to report such sales.
As of January 1, 2014, retail sales tax must be collected and remitted for prepaid wireless services. The E911 tax applies to prepaid call cards, reloaded telephone codes, other services included in a prepaid wireless plan. Reporting the E911 tax will be on an excise tax return that is to be e-filed. Businesses reporting the tax must know the exact location codes of each transaction. The rates of pay are 25 cents per month for the state rate, and 70 cents for all counties.
For immediate distribution- February 3, 2011. The application of sales tax to prepaid phone cards.
The Department of Revenue reiterates that retailers must collect and remit retail sales tax on prepaid phone cards. An audit report conducted by the Department of Revenue revealed that retailers were not adding retail sales tax to prepaid phone cards. The five-year audit, which concluded that retailers are liable for the penalties and interest of the outstanding tax liabilities, is not to scare retailers or threaten them. Rather, it is to inform retailers that it is their responsibility to remit and report the tax.
Remitting electronic files. How-to electronically file Washington State excise tax.
As of July 23, 2011, monthly and quarterly taxpayers must file and pay their taxes electronically.
- How to register for E-file
- How to report your taxes through E-file
- How to report income and expenses
- Paying electronically
As of January 1, 2010, Resale Certificates will no longer be accepted and will be replaced by Reseller Permits.
Some business owners will be automatically enrolled into the program and will receive the Reseller Permit by mail around mid-September.
Businesses that are enrolled:
- Prior to January 1, 2009: the Reseller Permit will be valid for four years
- After January 1, 2009: the Reseller Permit will be valid for two years, and must be renewed every four years subsequently
Construction businesses must apply for the Reseller Permit every 12 months and the permits will only be valid for 12 months.
Other businesses may also be eligible to obtain the Reseller Permit.