Article Archives: Joe Haberzetle

Posted by: Joe Haberzetle

Updated 9/18/2019, 9:15 PM What Changed? The Washington legislature recently enacted legislation that dramatically changes aspects of the state’s Real Estate Excise Tax (REET). Unless real property is classified as timberland or agricultural land, the REET rate structure will be changing on January 1, 2020. The current flat rate of 1.28% for the state portion […]

Posted by: Joe Haberzetle

One by one, Washington cities and towns are beginning to regulate vacation rentals offered for rent by owners of residential properties.  Regulatory permits and licenses, however, are not the only compliance requirements imposed on short-term rental businesses; they also need to consider state and local tax requirements. This article will provide short-term rental businesses with […]

Posted by: Joe Haberzetle

In a previous article, we discussed how expense reimbursements could present a B&O tax trap for real property lessors. Since publishing the article, we have learned that the Washington Department of Revenue (DOR) is aggressively targeting property management fees and payroll reimbursements on audit.  In certain cases, property managers have been assessed sales tax (as […]

Posted by: Joe Haberzetle

Originally posted on June 20, 2017 UPDATED OCT. 2017: On June 28, 2017, the Massachusetts Department of Revenue issued Directive 17-2, revoking its earlier Directive 17-1 (below), which would have required remote sellers to collect sales tax on Massachusetts sales beginning July 1, 2017. On September 22, 2017, Massachusetts adopted a new regulation, 830 CMR 64H.1.7 […]

Posted by: Joe Haberzetle

Come 2018, many not-for-profit organizations with unrelated business income (UBI) could either be smiling or groaning over the shift in their Oregon tax bills. Oregon recently followed the direction of many other states in attempting to collect more tax revenue from out-of-state businesses. The shift will come into effect through changes in how sales of services […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM California nonresident investors have long complained about having to pay $800 annually in minimum corporate franchise tax or California LLC tax, merely for holding a passive investment in a California business and regardless of whether the investment generates income.  As it turns out, the law may have been on the […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM Unlike many jurisdictions, Washington provides no automatic exemption from state and local taxes for nonprofit organizations that enjoy federal tax-exempt status. However, state law provides tax relief to nonprofit entities that engage in a variety of specific public benefit activities. It does this by exempting real and personal property used […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM Should retirement communities, assisted living facilities, and the like charge sales tax on the meals provided to their residents? The answer is not a simple yes or no, as guidance posted recently by the Washington Department of Revenue (DOR) on its website shows. This guidance states that the taxability of […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM Note: the information in this article had additional updates on February 19, 2018. View the updated article here. In our May 2014 article, we discussed the difficulties commercial and residential landlords encounter in determining the extent to which amounts received from tenants are subject to Washington B&O tax. While rental […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM Seemingly every year the Washington legislature makes a number of changes to the state’s tax laws, and 2015 was no different in this regard. Since 2011, Washington law has provided an exemption from Business and Occupation (B&O) tax and sales/use tax for complimentary meals provided by restaurants to employees. However, […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM Many Washington not-for-profits benefit substantially from the various property tax exemptions provided in state law. Private schools, churches, hospitals, museums and performing arts centers are among the organizations that can be granted exemptions from property taxes on the land and buildings they use, as well as on their personal property […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM The ability of not-for-profit organizations to rent their tax-exempt property to others has long been an area of contention between such organizations and the Washington taxing authorities, as evidenced by last year’s uproar over the highly acclaimed Everett Sausage Festival. The rules in this area are detailed, varying and confusing, […]

Posted by: Joe Haberzetle

By Joe Haberzetle, JD, LLM If you are a Washington-based professional services business with at least some of your clients located outside the state, how do you know whether (or to what extent) you’re required pay the state’s business and occupation (B&O) tax on your income from those clients? That is a complicated question, and […]

Posted by: Joe Haberzetle · Bob Heller

By Joe Haberzetle, JD, LLM and Bob Heller, JD, LLM In recent years the Washington Board of Tax Appeals has developed a reputation as a difficult venue for taxpayers to achieve positive results, particularly with respect to excise tax and property tax exemption issues. However, the Board’s recent decision in St. Andrews Building Corporation v. […]

Media Contact

Melissa Takade
Director of Marketing
Clark Nuber
Phone: 425-454-4919
Contact Melissa