SB 5460 creates a new funding source by directing 30% of state sales tax revenue from large stadiums (with specific size requirements) into community development accounts. This funding supports county-level community preservation authorities in areas affected by major public projects, with funds split between operating and capital needs. Authorities must use the money for economic development, safety improvements (like addressing homelessness impacts), and housing initiatives (including low-income units). The program expires in 2037 but requires a legislative review by 2034 to assess its impact on communities.
HB 1525 exempts sales and use tax on motor vehicles purchased by federally recognized tribes or enrolled tribal members in Washington State. It requires sellers to verify tribal membership using a tribal card, enrollment certificate, or official letter, but does not mandate delivery within Indian country. The exemption applies to all such vehicle purchases and expires January 1, 2037, with a provision to potentially extend it if vehicle sales to tribal members increase by 20% by 2034. This policy change directly affects tribal members and tribes purchasing vehicles in Washington, removing a sales tax burden for these transactions.
SB 5806 creates a voluntary tax disclosure program allowing unregistered taxpayers to come forward, pay overdue taxes without penalties or interest, and register permanently. It directly affects businesses or individuals who engaged in taxable activities without proper registration but have not committed fraud or evasion. To qualify, applicants must submit a registration application before department contact, disclose all past taxable activity, and attest under penalty of perjury. The program runs from July 1 to September 30, 2025, and does not apply to taxes already paid before July 1, 2025, or to unremitted sales taxes collected from buyers.
House Bill 1341 amends the existing law concerning Washington State's medical cannabis authorization database. It specifically grants the Liquor and Cannabis Board the ability to access this database to verify excise tax exemptions for medical cannabis. This allows the Board to confirm the eligibility of qualifying patients and their designated providers for tax-exempt purchases. The bill also outlines procedures for patient registration, the issuance and renewal of medical cannabis recognition cards, and the retention of database records.
HB 2071 imposes a monthly $1 tax on owners of online dating applications with Washington resident users, calculated based on the number of Washington residents (identified via address or IP) using the app each month. The tax applies to businesses owning 50% or more of such apps and funds must be deposited into a dedicated domestic violence services account for intervention programs and victim assistance. Owners must report resident user counts monthly and maintain records, with accounts inactive for 24+ months no longer taxable. The tax takes effect January 1, 2026, and directly affects online dating app companies operating in Washington.
HB 1095 would allow Washington cities and counties to impose a 0.10% sales and use tax credit to fund law enforcement recruitment and retention. Local governments would collect this tax as a credit against state sales tax, with at least 50% of the revenue required to directly support hiring and retaining commissioned officers. The tax would be phased in starting in 2026 for smaller jurisdictions (under 50,000 residents), expanding to all cities and counties by 2028. This bill creates a new funding mechanism but does not alter existing officer training requirements.
SB 5072 changes how Washington state taxes abandoned vehicles sold by registered tow truck operators. It reclassifies these sales from "automobile towing services" to "tangible personal property," requiring tow truck operators to collect standard sales tax on auction sales or sales to licensed scrap processors. This applies to vehicles sold at public auctions or to licensed wreckers, hulk haulers, or scrap processors under RCW 46.55.130. The bill clarifies that operators can deduct surplus proceeds paid to the Department of Licensing from taxable amounts.
HB 1560 imposes a 7.5% tax on the portion of annual compensation exceeding 10 times the state's average wage for the five highest-paid hospital employees without direct patient care, plus the hospital's lead administrator if not included. It directly affects nonprofit hospitals in Washington that pay certain executives excessive compensation, as defined by the bill. The tax revenue will fund programs to improve healthcare access, particularly for vulnerable populations and reproductive care. The tax applies to compensation reported under state health reporting rules, beginning in 2027 for the 2026 tax year.
HB 1115 clarifies that recording surcharges paid by clients to title and escrow businesses for document recording fees are not subject to Washington's sales, use, or business and occupation taxes. The bill directly affects title companies and escrow businesses, which were previously assessed back taxes for failing to collect these taxes on surcharges. It explicitly states that such surcharges - determined by a court to be an excise tax (not a fee) - cannot be taxed under state law. The law aims to prevent future tax assessments against these small businesses, resolving uncertainty created by the Department of Revenue's enforcement actions.
HB 1703 creates a tax credit for licensed horse racing venues in Washington, allowing them to offset state sales tax payments with amounts they pay to federal horseracing safety fees under the Horseracing Integrity and Safety Act of 2020. It also authorizes the Washington Horse Racing Commission to impose fees to cover federal compliance costs, with revenues deposited into a dedicated "Washington Equine Industry Federal Regulatory Account." The account receives up to $1.5 million annually from state sales tax revenues collected by class 1 racing associations, which must be used exclusively for federal regulatory fees. The bill takes effect in 2025 for fee authority and 2026 for the tax credit, aiming to streamline compliance with federal requirements.
