Sales tax now applies to some services

Starting October 1: Some business services are now subject to retail sales tax, as required by state law, ESSB 5814. When you buy these services, vendors should add sales tax to your bill. If you sell these services, you should begin collecting retail sales tax. Learn more about Services newly subject to retail sales tax.

Volkswagen and Audi diesel vehicle settlement

State law does not allow for the Department of Revenue to provide direct sales tax refunds to consumers in the context of class action settlements such as the one referenced below. If you have questions about the settlement compensation, you should contact the attorneys who negotiated the agreement or the Federal Trade Commission:

This litigation, called In re Volkswagen “Clean Diesel” Marketing, Sales Practices, and Products Liability Litigation, should be finalized by order of the U.S. District Court in the Northern District of California in mid October of 2016. You can find additional information about the settlement at https://www.vwcourtsettlement.com/en/.

Note: The VW/Audi Diesel Emissions Settlement Program buyback is not considered a trade-in for sales tax purposes. Nor will compensation payments received as part of the settlement reduce the sales tax due on the purchase of a new car.