Washington comes with an expert workforce, thanks to the state’s competitive business offering. Not only can your multistate business thrive in Washington with the state serving as a centralized export hub between Europe and Asia, but it also brings the opportunity for your business to tap into new markets.
Low cost energy and tax incentives also make the state a favorable one to do business in.
If you have recently expanded your business into this state, or if you’re considering doing so, understanding the cost of apportionment is important to help you accurately report earnings to the IRS and local governments.
Washington is a no income tax state
- Washington state does not have a personal or corporate income tax. However, people or businesses that engage in business in Washington are subject to business and occupation (B&O) and/or public utility tax. The business’s gross receipts determine the amount of tax they are required to pay. Businesses that make retail sales or provide retail services may be required to collect and submit retail sales tax
While Washington is a no income tax state, it is important to understand the tax obligations that may come into play within different business or residency scenarios. If your company operates in more than one state, it is advisable to peruse the various tax requirements for different states.
Ensuring Accurate Tax Filing
Keeping a handle on these different laws and tax implications might be difficult for your staff members but can be accomplished by outsourcing a CPA. Allow an expert who deals with business structuring, accounting, and taxation regularly set up accounting software to factor in applicable tax laws for each US state.
Fusion CPA recently expanded into new states bringing us firsthand experience and knowledge. We have a team of certified public accountants who are highly skilled in handling multistate taxes. Our team of professionals understands the federal and state laws in various states and jurisdictions.
This blog article is not intended to be the rendering of legal, accounting, tax advice, or other professional services. Articles are based on current or proposed tax rules at the time they are written and older posts are not updated for tax rule changes. We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided on this website is not all-inclusive and such information should not be relied upon as being all-inclusive.