Washington DOR Expands Sales Tax Exclusion for Hospital Staffing Services Effective July 1

The Washington Department of Revenue (DOR) has announced an expansion of the exclusion from the definition of retail sales for temporary staffing services provided to hospitals, effective July 1, 2026. The expanded exclusion applies to staffing services used by hospital-based clinical providers to: 1) supplement fulfillment of hospital contracts for professional services; and 2) supplement hospital staffing for limited periods. The change expands the existing exclusion for providing workers to licensed hospitals. [Wash. Dep’t of Revenue, Special Notice, 04/03/26]

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