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
Penalties for late payment
- 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