Upload instructions and a template for the use tax notice and reporting annual report to the Department are now available.
Remote seller sales tax thresholds
Businesses located in another state, who lack a physical presence in Washington but who make sales to Washington consumers, must follow tax collection laws and may be required to register if they meet either of two thresholds:
Threshold one—Exceeds $100,000 in annual gross retail sales to, or 200 or more annual transactions with, Washington consumers
NEW: Beginning October 1, 2018, remote businesses exceeding $100,000 in sales to, or 200 or more transactions with, Washington purchasers must register their business and collect/submit retail sales/use tax on those sales.
Marketplace facilitators: this includes both your own sales and the sales made on behalf of all of your marketplace sellers.
Marketplace sellers: If you only make sales through a marketplace facilitator, see the remote seller page for specific reporting procedures.
Threshold two – $10,000 in gross annual retail sales to Washington consumers
Beginning January 1, 2018, remote sellers and marketplace facilitators making $10,000 or more in retail sales to Washington purchasers must make a retail sales tax choice*:
Choice #1: Register their business, and collect and submit sales/use tax on sales to Washington purchasers
Choice #2: Follow the use tax notice and reporting requirements:
*Note: Once a business exceeds $100,000 in retail sales, or meets 200 or more transactions, as of October 1, 2018, the business no longer has a choice and must register and collect retail sales/use tax.
Depending on its activities, one business can be a marketplace facilitator, a remote seller, a marketplace seller, a referrer, or any combination of the four.
What is a marketplace seller?
See more information on marketplace seller.
What is a remote seller?
Generally, a remote seller is a seller who does not have physical presence in Washington and makes retail sales into Washington.
See more information on remote sellers.
What is a referrer?
Generally, a referrer is a person that receives a commission, fee, or other consideration from a seller for listing or advertising the seller’s goods or services and transferring purchasers to the seller. A referrer does not collect payment from the purchaser. Referrers do not include persons printing or publishing newspapers or persons providing internet advertising services that do not ever provide the seller's shipping terms or whether the seller charges sales tax.
See more information on referrers.
Notification regarding Wayfair’s impact on the Marketplace Fairness Act and the requirement to make a retail sales tax choice.
If you have questions regarding your tax reporting requirements, email DORMarketplaceFairness@dor.wa.gov or call 1-800-426-1776.