News for Tax Issues
Jaci Hayden testifies against Senate tax increase bill
Government Affairs Committee member Jaci Hayden testified on behalf of AGC before the Senate Ways and Means Committee April 26. Hayden expressed AGC’s opposition to SB 5929, a comprehensive tax increase bill, especially the bill’s proposed 20-percent B&O tax increase.
Posted on: 05/08/2017
House Democrats propose 20% B&O tax increase, new capital-gains tax
With the state House proposed operating budget approved by that body, eyes are now fixed on legislation needed to fund it. HB 2186 received a “do pass” recommendation from the House Finance Committee April 4 after a public hearing the day prior.
Posted on: 04/10/2017
State Senate, House release competing budget proposals
The Washington Senate's Republican-led Majority Coalition Caucus (MCC) unveiled its "Protecting Washington's Future" budget – a $43 billion spending plan – last week and quickly passed it by a 25-24 vote.
Posted on: 03/28/2017
Governor’s budget increases taxes, spending by $8 billion
Gov. Jay Inslee recently unveiled his budget proposal. The headlines were that Inslee proposed raising taxes by $4.4 billion, and while that's substantial, it only reflects part of the taxes.
Posted on: 01/04/2017
When do contractors pay sales tax on clean-up activities?
AGC continues to receive inquiries from contractors regarding the payment of sales taxes on final cleaning subcontracts.
Posted on: 08/22/2016
Eyman’s new tack to cut transportation funding
Tim Eyman has filed a whopping 126 initiatives this year, many of which would gut transportation funding.
Posted on: 06/06/2016
State Supreme Court rules that gas tax rebates to Tribes are constitutional
AGC and allies within the business community lost a legal battle recently when the State Supreme Court ruled that gas-tax rebates to tribes are constitutional.
Posted on: 09/28/2015
More from DOR on construction-related janitorial services and sales taxes
AGC has been working with the Department of Revenue regarding the application of sales tax rules for construction-related janitorial services. There is much confusion surrounding the issue because different rules apply to custom vs. speculative construction. The Department provided the informatio...
Posted on: 04/17/2015
Gas-tax increase proposed in U.S. Senate
From AGC of America
With the balance in the federal Highway Trust Fund quickly being depleted to the point that it is projected to have insufficient revenue to pay states for ongoing construction activities within the next few weeks Senators Chris Murphy (D-Conn) and Bob Corker (R-Tenn) introduc...
Posted on: 06/20/2014
Report confirms the loss of transportation funds to compact
$30 million a year is being siphoned out of gas-tax funded transportation construction by a questionable compact that Washington State entered into with the Tribes in 2007 concludes a report by former Washington State Auditor Brian Sonntag.
In 2007 the Legislature passed a bill authorizing the G...
Posted on: 04/28/2014
Supreme Court Allows Suit over State/Tribe Gas Tax Deal to Proceed
The Washington State Supreme Court recently ruled in favor of AGCs position on an issue involving the siphoning of state highway funds for non-transportation purposes.
AGC filed an amicus brief in support of Automotive United Trades Organization (AUTO) an organization of gas station operators th...
Posted on: 09/04/2012
Prepare for Worst: Estate Tax Set to Take Big Jump in 2013
Estate tax rates are among the many unknowns with regard to tax policy in the coming years. Heres where we stand: Currently the estate tax rate is 35% with a lifetime estate tax exemption of $5.12 million. If nothing happens legislatively in 2013 the estate tax will increase to a 55% top rate a...
Posted on: 08/07/2012
AGC Talks Taxes, PLAs, Card Check with Members of Congress
As part of the AGC National & Chapter Leadership Conference in Washington D.C. AGC of Washington leaders Tom Zamzow (Granite Construction) Pat McGarry (Manson Construction) and Steve Isenhart (Tiger Construction) joined AGC’s Executive Vice President David D’Hondt Government Affairs Director ...
Posted on: 10/05/2010
Big Increases in Unemployment Taxes Expected Next Year
According to the Employment Security Department employer taxes are projected to rise up to 38 percent for 2011. The department notes that the rates may decline in 2012 and it is researching ways to spread this increase out over a number of years with the goal of reducing the 2011 increase. Incl...
Posted on: 09/21/2010
State Announces Large Unemployment Insurance Tax Increase for 2011
The average employer’s unemployment insurance tax is projected to go from 2.39 percent this year to 3.36 percent in 2011. Combined with an increase in the taxable wage base it means that employers will see around a 42 percent increase in unemployment insurance costs.
Individual employers will s...
Posted on: 07/27/2010
IRS Posts More Info Regarding Tax Exemption for New Workers
The Internal Revenue Service has posted on its website the newly-revised payroll tax form that most eligible employers can use to claim the special payroll tax exemption that applies to many new workers hired during 2010. Designed to encourage employers to hire and retain new workers the payroll ...
Posted on: 05/25/2010
Does New B&O Tax Apply to Your Business?
One of the elements of the recently adopted tax package is a temporary (5/1/2010 through 6/30/2013) B&O surcharge of 0.3% which is applied to select businesses in Washington State. AGC has had a few calls wondering who the tax applies to.
Firms that provide retail (RCW 82.04.050) and wholes...
Posted on: 04/27/2010
State Budget Plan Includes Tax Increase on Services
Among the patchwork of $800 million in tax increases passed by the Legislature is a temporary (theoretically) increase in the B&O tax on service businesses. For any business for which the current 1.5% B&O rate applies (including engineers architects attorneys and accountants) the rate wi...
Posted on: 04/14/2010
Can Your Firm Take Advantage of New HIRE Tax Incentives?
From AGC of America: The President signed into law the Hiring Incentives to Restore Employment (HIRE) Act that provides incentives for businesses to hire new employees and invest in property and equipment. The HIRE Act includes two new temporary incentives for employers to expand their workforc...
Posted on: 03/30/2010
Legislation Could Increase Unemployment Insurance Taxes Yet Again
(Editor’s note: How much have your UI rates gone up? Legislators have asked AGC lobbyists for real-world impacts on both large and small companies. Please take a moment to share this info – the amount of recent increases plus any broader impact on your firm – to Christine Swanson 360-352-5000. Th...
Posted on: 02/09/2010
Unemployment Insurance Tax Changes for 2010
By Christine Swanson AGC Government Affairs Manager
During the week of December 7 the Employment Security Department started mailing tax notices for 2010. Unfortunately tax rates will rise in 2010 for many employers. The average tax rate in 2010 will be 2.38 percent up from 1.55 percent in 2009....
Posted on: 12/22/2009
Get Help with Tax Issues - Including Reseller Permits - From DOR
(Editors Note: Last month AGC held a “brown bag seminar” on the new sales tax/reseller permit law with the help of Linda Miller Baldwin and John Wack of the Department of Revenue. At that event it became clear that there was confusion about the role of DOR’s Taxpayer Services Division which provi...
Posted on: 09/28/2009
Sales Tax Collection System for Construction Re-Written by SB 6173
SB 6173 would eliminate the use of Resale Certificates that exempt contractors from paying sales tax on purchases for most construction projects and require contractors to pay sales tax up front and then make a claim later for a credit from the State.
AGC members are encouraged to IMMEDIATELY co...
Posted on: 04/16/2009
SB 6169 Expands Personal Liability for Wider Array of Taxes
Legislation was introduced legislation that would expand personal liability for a wider array of taxes paid by businesses. The bill was introduced yesterday (April 15 ironically tax day) with a hearing held at 8 a.m. the next day.
Under current law certain corporate officials and employees can ...