Posts tagged: Washington Department of Revenue
OK, one of those little-seen, little-known wireless phone bill taxes has been modified to include sales of prepaid phones and prepaid phone cards.
Starting this month, the state of Washington has approved adding the tax to prepaid phones and prepaid products, including phone cards.
Here's an example. Bob goes to WalMart and buys a $30 prepaid wireless phone card. The store will collect $1 for the E911 tax Seventy cents go to the county, 25 cents goes to the state, and then the store will collect an additional nickel and send it to the state Department of Revenue.
The change in the law is that previously the E011 emergency services tax was collected by cellphone companies and carriers. Now retailers are asked to collect the tax on prepaid items.
All wireless customers are already paying that small tax on their monthly wireless bill.
The money supports the technology that enables local 911 emergency services to pinpoint the geographic location of cellphone users who call for help. A summary of the tax can be found at the Washington Dept. of Revenue FAQ.
The new law allows retailers to charge 5 cents to cover their cost of collecting the tax until July 1, 2018. The 95-cent E911 tax and 5-cent seller compensation will be collected on each prepaid wireless item purchased. The E911 tax is in addition to state and local retail sales taxes.
State rules say that businesses or local governments cannot generally transfer or dispose of unclaimed property — including most gift cards and the contents of safe deposit boxes.
The Washington Department of Revenue will visit with local business owners in Spokane on Monday (yes, Valentine's Day) to get input on how the agency can simplify the tax process for small businesses.
The visit to Greater Spokane Incorporated's offices, 801 W. Riverside, Suite 100, is part of Gov. Chris Gregoire’s executive order last October to make it easier to do business in the state.
This event is free and open to any businesses, not just GSI members. It will be from 1:30 to 3 p.m.
Information and registration: http://events.greaterspokane.org/default.asp?cale_id=1409&details=true