To qualify for the exemption, the buyer must keep records of all of its taxable purchases in Washington during the calendar year. Once a year, the buyer can claim a refund of the revenue tax paid for all purchases made in Washington during the previous calendar year. The application must contain adequate documentation of all purchases as well as proof of non-residence. Marketplace: Marketplaces such as Amazon and Etsy offer built-in assessment and collection of VAT rates, usually for a fee. Like in hosted stores, you can set up things on your seller dashboard and let your marketplace provider do most of the hard work. After discovering that you have a VAT nexus in Washington, you must register with the relevant public authority and collect, file, and reject the turnover tax to the state. We receive many questions about this and we recognize that it can be the most difficult obstacle for companies to overcome. Avalara Licensing can help you get your washington business license and VAT registration. More than $100,000 in annual gross retail sales to Washington consumers; or some transit districts have higher maximum rates, and Kitsap Transit has an additional VAT authority of up to 0.4% for passenger transport services (RCW 82.14.440). The Streamlined Sales and Use Tax Agreement (SSUTA)  focuses on four main requirements for simplifying national and local tax legislation: 1) administration at federal level, 2) a single tax base, 3) simplified rates and 4) uniform rules for the purchase of sales. In the event that a deadline for filing turnover tax in Washington due to circumstances that are beyond your control (e.g.B. Weather, accident), has been omitted, the DOR may grant you an extension. However, you may be asked to provide evidence of your claim.
Turnover taxes apply to most retail sales of « physical personal property » in Washington, D.C., as defined in RCW 82.04.050. In addition, the Marketplace Fairness Act requires all « distance sellers » without a physical presence in the state (for example.B. online or mail order sellers) to collect and transfer revenue taxes on all purchases. If you are in the process of acquiring a business, it is highly recommended that you contact the Washington DOR and inquire about the current status of the potential acquisition. Once the business is purchased, you will be responsible for all outstanding sales and tax debts in Washington. Click-Through-Nexus: an agreement to reward a person(s) in the state for direct or indirect referral of potential buyers of goods via an Internet link, website or otherwise, where the cumulative gross revenue from such sales exceeds US$10,000 in the preceding calendar year. Click-Through-Nexus went into effect on September 1, 2015 in Washington and was eliminated with effect from March 15, 2019. . .