Washington State Taxes Overview
Washington state does not charge any income tax. It levies taxes on sales, property, and estate. The state sales tax rate is 6.5%. The property tax is 1.083%. The estate tax rate range is 0% to 20%.
Personal Tax Details
-
You can deduct sales and use tax paid up to $10,000. This limit is $5,000 if married filing separately. This deduction limit expires in December 2025.
-
The total Washington sales tax rate ranges from 7.0% to 10.5%. It has recent rate changes.
-
The effective Washington property tax is 1.083% of assessed home value. A $250,000 home would pay $2,707.50 annually. Rates vary by county and area.
Tax Comparison
- Washington has the country’s most regressive tax system. The bottom 20% pay 17.8% of income in taxes. The top 1% pay 3.0%.
Washington State Income Tax Information
-
Washington does not have a typical individual income tax but does levy a 7.0 percent tax on capital gains income.
-
Washington does not have a corporate income tax but does levy a gross receipts tax.
-
Businesses pay business and occupation and/or public utility tax in Washington.
Comparing Taxes
-
Motor vehicle purchases in Washington are subject to state and local sales taxes, with an additional 0.3% tax.
-
Washington’s tax on gasoline is $0.494 per gallon.
Additional Tax Deductions
- You may continue to itemize and deduct sales tax on your 2018 federal income tax returns. If you qualify to itemize your deductions on Form 1040, Schedule A, you can take this deduction.