Washington DOR Issues Special Notice on New Heavy Equipment Rental Tax

The Washington Department of Revenue Sept. 17 issued a special notice stating that the state will impose a heavy equipment rental tax on the retail rental of heavy equipment, beginning Jan. 1, 2022. State heavy equipment rental dealers must charge their customers the excise tax of 1.25 percent on the rental price of each in-state rental. The notice includes that: 1) the tax applies to all heavy equipment rentals made from a rental location in the state in addition to the state and local retail sales and use tax; 2) the tax will apply only to heavy equipment exempt from ...