Washington e-commerce nexus compliance support

I collected and summarized authoritative Washington State guidance and resources to create a complete, state-specific compliance summary and practical checklist for US business owners and LLC founders selling into Washington via e-commerce.

The summary covers economic nexus thresholds, marketplace facilitator rules, registration and reporting steps, sourcing and tax rate responsibility, B&O tax obligations, filing timing and frequencies, recordkeeping and voluntary disclosure options, and practical next steps.Key Washington-specific conclusions (concise):- Economic nexus threshold: Washington requires registration and reporting for businesses that have more than $100,000 in combined gross receipts sourced or attributed to Washington in the current or prior calendar year (effective Jan. 1, 2020 rules).

Marketplace sales count toward this threshold. If you meet the threshold in the prior year, you generally have nexus for the entire current year; if you meet it during the current year, you must begin collecting on the first day of the month that starts at least 30 days after you exceed the threshold.- Marketplace facilitators: A marketplace facilitator (RCW definition) that facilitates sales and meets registration criteria must register and collect/remit sales tax for facilitated sales.

Facilitators must provide marketplace sellers with access to a monthly report of gross Washington sales the prior month (report must be provided by the 15th), and DOR provides limited liability relief rules (including historic, time-limited relief for 2018–2019 only) when certain conditions are met.- Registration and reporting: Register via the Business License Application (My DOR/SST registration).

When registered, report gross Washington retail sales under Retailing B&O on your excise tax return; if a facilitator collects tax for you, claim the “Gross Sales Collected by Facilitator” deduction. Even if a CSP collects tax, you must still file your excise tax return to report B&O tax.- Sourcing and rates: Washington uses destination-based sourcing — collect sales tax at the rate applicable to the customer’s delivery location.

State base rate is 6.5%; local jurisdictions add local portions. Use DOR’s sales and use tax tools and the taxability matrix to determine correct rates and taxability.- B&O tax: Washington’s B&O tax is a gross receipts tax.

If you exceed the $100,000 threshold, you must report Retailing B&O and any applicable classifications for commissions or services. B&O rates vary by classification (see DOR’s list of B&O tax rates and classification guidance).- Filing frequency and due dates: Filing frequency (monthly, quarterly, annual) is assigned based on tax volume.

In general: monthly returns are due the 25th of the following month; quarterly returns are due by the end of the month following the quarter; annual return due date is April 15 (per DOR guidance). Sales tax collected are trust funds and must be remitted when filing.- Practical compliance steps: monitor cumulative Washington receipts monthly (include marketplace sales), register promptly when approaching threshold, configure e-commerce platform for destination-based rates (use DOR rate lookup or tax automation), apply appropriate exemptions and keep reseller permits, maintain records, and consider the Voluntary Disclosure Program if you have unreported past obligations.

I collected and summarized authoritative Washington State guidance and resources to create a complete, state-specific compliance summary and practical checklist for US business owners and LLC founders selling into Washington via e-commerce.

The summary covers economic nexus thresholds, marketplace facilitator rules, registration and reporting steps, sourcing and tax rate responsibility, B&O tax obligations, filing timing and frequencies, recordkeeping and voluntary disclosure options, and practical next steps.Key Washington-specific conclusions (concise):- Economic nexus threshold: Washington requires registration and reporting for businesses that have more than $100,000 in combined gross receipts sourced or attributed to Washington in the current or prior calendar year (effective Jan. 1, 2020 rules).

Marketplace sales count toward this threshold. If you meet the threshold in the prior year, you generally have nexus for the entire current year; if you meet it during the current year, you must begin collecting on the first day of the month that starts at least 30 days after you exceed the threshold.- Marketplace facilitators: A marketplace facilitator (RCW definition) that facilitates sales and meets registration criteria must register and collect/remit sales tax for facilitated sales.

Facilitators must provide marketplace sellers with access to a monthly report of gross Washington sales the prior month (report must be provided by the 15th), and DOR provides limited liability relief rules (including historic, time-limited relief for 2018–2019 only) when certain conditions are met.- Registration and reporting: Register via the Business License Application (My DOR/SST registration).

When registered, report gross Washington retail sales under Retailing B&O on your excise tax return; if a facilitator collects tax for you, claim the “Gross Sales Collected by Facilitator” deduction. Even if a CSP collects tax, you must still file your excise tax return to report B&O tax.- Sourcing and rates: Washington uses destination-based sourcing — collect sales tax at the rate applicable to the customer’s delivery location.

State base rate is 6.5%; local jurisdictions add local portions. Use DOR’s sales and use tax tools and the taxability matrix to determine correct rates and taxability.- B&O tax: Washington’s B&O tax is a gross receipts tax.

If you exceed the $100,000 threshold, you must report Retailing B&O and any applicable classifications for commissions or services. B&O rates vary by classification (see DOR’s list of B&O tax rates and classification guidance).- Filing frequency and due dates: Filing frequency (monthly, quarterly, annual) is assigned based on tax volume.

In general: monthly returns are due the 25th of the following month; quarterly returns are due by the end of the month following the quarter; annual return due date is April 15 (per DOR guidance). Sales tax collected are trust funds and must be remitted when filing.- Practical compliance steps: monitor cumulative Washington receipts monthly (include marketplace sales), register promptly when approaching threshold, configure e-commerce platform for destination-based rates (use DOR rate lookup or tax automation), apply appropriate exemptions and keep reseller permits, maintain records, and consider the Voluntary Disclosure Program if you have unreported past obligations.