Local governments in Washington State are also permitted to collect a local option sales tax of up to 4 percent. For everything that isn’t noted above as a vehicle, you are going to have to pay the Washington sales tax. Additionally, our sales tax is only 8.5%, which will save you even more! How do I pay the tax? Stores don't have to exempt you from the sales tax if they don't want to. For example, when you purchase a used vehicle from an individual, there is no sales tax involved, so the state instead charges a use tax. Sales Tax Handbook states that if the vehicle's purchase price is not in line with its true value, the value is calculated as close as possible to the selling price of similar vehicles. In February 55% of used cars were sold within 30 days in Seattle, but as the first stages of the novel coronavirus swept through, that figure dropped down to 39.6% of used cars … Often, manufacturer rebates or cash incentives are offered on vehicles as a way to encourage sales. Also where can I purchase an Ipod in downtown Seattle? Local sales tax is collected at a 1.0% rate, and the revenue is split between the City of Seattle, which gets 85%, and King County, which gets the remaining 15%. Sales tax On April 1st, 2017 the retail sales tax in King County was raised to 10%. The 2020 Washington state sales tax rate of 6.5%, plus a 0.3% "motor vehicle sales / lease tax", the state tax levied on the purchase or lease of all vehicles is 6.8%. Our car experts choose every product we feature. Thanks Metro! Research, compare and save listings, or contact sellers directly from 27726 vehicles in Seattle. Northwest Chevrolet explains that the vehicle sales tax for several of the major cities in Washington State is as follows: Use tax applies when sales tax hasn't been paid is what the Washington State Department of Licensing tells us. Motor vehicle dealers and motor vehicle leasing companies must collect the additional sales tax of three-tenths of one percent (0.3%) of the selling price on every retail sale, rental, or lease of a motor vehicle in this state. Note: Leases of motor vehicles that extend beyond 36 months do not qualify for the partial exemption. Thanks very much. ). Motor vehicle leases which extend beyond three years don't qualify for this partial exemption. In addition to the expiring $60 fee, Seattle also charges vehicle owners a separate $20 car-tab fee, imposed by the council rather than the voters. This is regardless of whether or not the vehicle is licensed in Washington State. The rate charts range from 7.0 percent to 20.5 percent and calculate up to a $100 sale. To review the rules in Washington, visit our state-by-state guide. Washington State vehicle sales tax is the tax due on the majority of purchases or acquisitions of motor vehicles in Washington State. The latest sales tax rate for Seattle, WA. “I overpaid by maybe $20-$25 last year and this year they’re asking me to overpay by $75-$76,” he said. Gasoline Tax: $0.16 per gallon. Exemptions to the Sales Tax: There are some situations in which you do have free car tax no matter where you live. Cities and counties in Washington State collect sales taxes on vehicle leases and purchases, so the sales tax you pay includes the local sales tax rate of any where from 0.5 percent to 3.5 percent , depending on where you reside. Kent, WA 98032 (253) 649-2244 In Seattle and Tacoma, the ST3 tax increase brings the total sales tax to 10.1 percent. $60 car tab fee, 0.1% Sales Tax increase. Our COVID-19 Response . Oregon residents will not have to pay sales tax on a vehicle bought in WA. The state will allow residents from another US state which doesn't have sales tax to be exempt from the tax. Whether you live in Seattle, Olympia or Vancouver, paying Washington car tax is an unavoidable expense. https://www.hotwire.com/Car-Rentals-In-Seattle.d178307.Car-Rental-Guide, https://www.salestaxhandbook.com/washington/sales-tax-vehicles, https://www.northwestchevrolet.com/lowest-sales-tax, https://www.dol.wa.gov/vehicleregistration/usetax.html, Listen to the 2021 Ford F-150 Raptor R's V-8, Every New Mid-Size Family Sedan Ranked for 2021, VW ID.Buzz Microbus U.S. Press J to jump to the feed. In Seattle, there is an $80 car tab which partly funds bus service. The total sales tax rate in Seattle is 8.8%, with the exception of a 9.3% rate that applies to food and beverages purchased in restaurants and bars. 2020 rates included for use while preparing your income tax deduction. Advantage Auto Direct (a division of XCar Inc.) 7408 S 212th Street. Service & Parts. Historic vehicles that were built before 1973 are exempt. Under RCW 82.14.450(4), there is an exemption from the public safety element of the retail sales tax, which applies to: To report any sales/leases which qualify, the Department of Licensing has created special area codes for the partial sales tax exemption. Washington has state also allows local governments to collect a local option sales tax of up to 4.00%. Washington state sales tax is 6.5 percent. Used Vehicle Specials. The tax is collected by the vendor at the time of purchase and submitted by the vendor on the excise tax return. In Washington, new vehicles are subjected to a sales tax of 6.8%. Find One of Lowest Car Sales Tax Rates in Washington State at Northwest Chevrolet One of the benefits of buying at Northwest Chevrolet is our McKenna location in unincorporated Pierce County, where sales tax rate is more than 1.5% lower than many other dealerships in the greater Seattle area due to no city sales tax. 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