Hi everyone it’s Emilie from the
Department of Revenue and today we’re going to talk about changes to the sales
tax exemption for qualified nonresidents. So what does that mean?
Well in the 2019 legislative session a bill was passed Engrossed Substitute
Senate Bill 5997 if you want to read it later that replaced
the current sales tax exemption with a refund program so this means that if you
are a business owner in Washington state you must charge sales tax to
qualified nonresidents starting July 1. So even if they come to the register and
they have an ID from out-of-state you still have to charge them sales tax. Well
what if you are a qualified nonresident? So let’s say you live in a state that
doesn’t have a sales tax like Oregon but you come to Washington state and
purchase something that you’re going to take back home to use? Well even if you
show your ID at the register you will be charged sales tax however you can
request a refund of the 6.5% of the state retail sales tax
that you paid from the Department of Revenue. You can only request a refund
one time per year and it has to be of at least $25. So unless if you make a really
large purchase this might take you a few shopping trips in order to get to that
number. So here’s a pro tip: if you get a receipt on thermal paper you might want
to take a photocopy of it because the ink fades and you have to turn in the
receipt with the request for the refund. So please note that these changes do not
apply to car sales or the auto industry. So if you have any questions you can
read more about it on our website at dor.wa.gov/nonresidents or you can
drop some comments in the comment section below this video and we’ll get
back to you. Alright thank you and have a great day!