Business & Occupation (B&O) Taxes

3 businesses in Olympia: Vendor selling handbags, Construction site, Meeting at law office

What is the B&O tax?

The City collects and administers a local Business & Occupation (B&O) tax as authorized by Olympia Municipal Code 5.04. The City uses revenue generated from B&O taxes to help support City expenses (General Fund) that do not have a dedicated funding source.

Who needs to file B&O taxes?

All businesses conducting business in Olympia are required to file a return, even if there has been no activity or no tax is due.

How much is the B&O tax?

Most businesses fall into the 1/10 of 1% rate, including Retail Service such as restaurants and clothing stores. Service providers such as CPA firms, architects, attorneys, and doctors (those who do not normally pay sales tax), fall into the 2/10 of 1% rate.

Business Classification Tax Rate
Extracting .001 (1/10 of 1%)
Manufacturing .001 (1/10 of 1%)
Wholesaling .001 (1/10 of 1%)
Retailing .001 (1/10 of 1%)
Retail service .001 (1/10 of 1%)
Printing and publishing .001 (1/10 of 1%)
Public road construction (included in retailing) .001 (1/10 of 1%)
Service and other activities (not in any other category) .002 (2/10 of 1%)

When are B&O taxes due?

Annual filings are due April 15, 2021 for the 2020 annual filing. Quarterly filing due dates have not changed.

Annual total gross revenue less than $20,000

No B&O taxes are due, but business must still file a return by April 15 of the following year.

Annual total gross revenues between $20,000 and $750,000

Must file and pay taxes by April 15 of the following year.

Annual total gross revenues over $750,000

Must file and pay taxes quarterly on:

  • April 30
  • July 31
  • October 30
  • January 31

  • 9% of the tax due if not received on or before the last day of the month in which the tax is due.
  • 19% of the tax due if not received on or before the last day of the month following the due date.
  • 29% of the tax due if not received on or before the last day of the second month following the due date.
  • Minimum penalty on all late returns where tax is due is $5.00.
  • There is no penalty on late returns with no tax due.

File and pay B&O taxes

Complete and return the appropriate form below based on your business's annual total gross revenue.

Make checks payable and return forms to:

City Treasurer
P.O. Box 2009
Olympia, WA 98507-2009

Questions?

Contact the Tax and License Accountant at 360.753.8327 or licensing@ci.olympia.wa.us