Washington Expands Sales Tax to Services: Interim Guidance Issued by Department of Revenue

• Washington’s Department of Revenue issued interim guidance on sales tax expansion to services effective October 1, 2025.
• The guidance covers sourcing, resales, exemptions, nonprofit taxation, affiliated group sales, and tax rate determination.
• Advertising services, custom software, and website development are now taxable as retail sales.
• Digital automated services exclusions are revised, with new exclusions for telehealth and telemedicine.
• Professional services are not intended to be taxed solely due to digital automation.

Source: ryan.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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