Washington Expands Sales Tax to More Services Starting October 1, 2025
Adam Tahir
September 14, 2025

Washington State is making a major change to its tax code: starting October 1, 2025, more business services will be subject to the state’s retail sales tax. For service providers and their clients, this expansion could mean higher costs and new compliance obligations.

What Happened

Why It Matters

Implications for CPAs and Businesses

Looking Ahead

Washington’s move reflects a broader trend: states increasingly expanding sales tax bases to services, not just goods, to boost revenue. Businesses should expect this trend to continue nationwide. For CPAs, the challenge is clear—proactive planning and client education will be critical.

Stay Ahead of State Tax Shifts

Sales tax expansions can catch businesses off guard, especially in service industries.

👉 Try Bizora today to track evolving state and local tax changes and guide your clients with confidence.