How Do I File My Small Business Taxes in Washington State?

File your return electronically using My DOR, the Department’s online filing tool. You will need your Account ID and Letter ID. Learn how to set up your account.
Businesses must file taxes electronically using My DOR and pay electronically. For assistance, call 360-705-6705. If unable to file electronically, request a waiver.
Nearly a quarter million Washington businesses use My DOR for 24/7 tax filing access. My DOR offers advantages over paper filing.
The deadline for filing small business taxes is typically April 15th. The taxes due depend on your business structure.

Small businesses pay sales tax, use tax, business and occupation tax, and property tax. Consult an accountant or the Washington Department of Revenue website.

Washington charges a 1.8% gross income tax on revenue after your first $35,000. This is the business and occupations tax tracked by your UBI number.
The Washington sales tax rate depends on your county. The state sales tax rate is 6.5%. Each county adds a local rate.
Provide contact information and sales thresholds when registering your business for sales tax collection. Sales tax returns should be filed monthly, quarterly, or yearly.
You must pay sales tax. Retail sales tax must be collected unless a deduction or exemption applies. Do I have to file taxes in Washington? The taxes due depend on your structure.
Washington charges 1.8% gross income tax on revenue after your first $35,000. This is the B&O tax tracked by your UBI.
The state sales tax rate is 6.5%. Counties add local rates.
Provide contact information when registering for sales tax. Returns should be monthly, quarterly, or yearly.
Rental income is generally not subject to B&O tax for 30+ day leases.
File consumer use tax returns. Sales of property are typically subject to real estate excise tax.
You must register if: collecting sales tax, income is $12,000+, or paying other DOR taxes/fees.
Washington corporations still pay federal income taxes.

Virtually all businesses in Washington are subject to the state business and occupation (B&O) tax. This gross receipts tax is calculated on total income from business activities. The B&O tax rate is typically 1.5 percent, regardless of profitability.
LLCs in Washington state do not pay state income taxes. However, they do pay business taxes like the B&O tax. LLCs can deduct business expenses like the B&O tax when filing federal taxes.
Washington imposes retail sales tax on any businesses that sell products within the state. Businesses making retail sales collect sales tax from their customers, then pay taxes periodically to the state. The current sales tax rate in Washington state is 6.5%. However, local sales tax rates also apply; those vary by location.
Washington’s tax structure is unique with no personal or corporate income tax. The B&O tax, sales/use taxes, and property taxes mainly fund the state budget.