Incentives

• Washington State levies no corporate, unitary or inventory tax.
• Washington State has no personal income tax therefore business are alleviated the additional burden of withholding, remitting and reporting the tax.
• The state levies no tax on interest, dividends or capital gains.
• Washington State gives an annual B&O tax credit of up to $2 million for high technology businesses performing R&D in advanced computing.
• Washington State defers or waives sales and use tax associated with new R&D or pilot scale manufacturing operations, or expanding, renovating or equipping an existing facility to current operation for companies that perform advance computing.
• Software designed for a specific need for a single person or group of persons is exempt from property tax in Washington State. Included in the definition is modification of canned computer software.
• Washington State’s Rural Counties offer tax credits for new hires.
• Washington State exempts sales and use tax on equipment used in manufacturing.
• Washington State reformed the Workers’ Compensation System making it one of the lowest in cost nationally. The system is based on hours worked rather than wages paid which means tax is not paid on vacation, sick leave or time-off. Additionally, wage increases do not inflate cost, and workers pay 27.6% of the premium.
• Washington’s administrative costs are half of the national average.

Learn more about incentives for doing business in the Northwest.