Washington B&O Update for 2020
February 14, 2020
On February 10, Washington Gov. Jay Inslee signed Senate Bill 6492, repealing the state’s Business and Occupation (B&O) surcharges on the tax classification “Service & Other Activities.” The three-tiered surcharges had been enacted in 2019 under House Bill 2158.
Under the new bill, the B&O “Services & Other Activities” tax rate is 1.5% for hospitals, large advance computing businesses, and businesses (or affiliate groups) with less than $1 million in gross annual income. For businesses with more than $1 million in annual gross income, the rate is 1.75%.
Our expert team of state & local tax professionals is ready and prepared to help you navigate these changes for your business.