Is Seattle Tax Free?
/Seattle is famous for its landscapes, fish, and culture. But if you're wondering if it's tax-free, it's not as simple as you might think. You do pay something even though Seattle does not have a state income tax. Here's a look at the numbers, which should give you an idea of how much tax you would still have to pay for your trip to or stay in Seattle.
One of the greatest things about living in Seattle is that Washington State is not a personal income tax state. What that means is that if you work and live in Seattle, you get to keep more of your check than someone who works in a state that does have an income tax. That does not mean Seattle is tax-free, however. The city and state make up for it by having other types of taxes that you will want to be aware of.
Also Check Out Our: What Is Jeff Bezos' IQ?
Remember That Most Of The Things You Buy In Seattle Will Still Have Sales Tax Added To Them
Seattle will still charge you, mostly when you shop, even if they don't take a cut of your pay. In Washington state, the sales tax is known to be one of the largest, and Seattle adds some of that to the state tax. Seattle's sales tax rate is a little over 10.25%, which means that if you buy something for $100, you will pay $110.25 at the register.
A lot of different things and services are subject to this sales tax, from clothes and electronics to eating out. But some things are excluded, like food and prescription drugs, so you won't have to pay extra when you buy food for your family.
There Is Also A Business Tax In Seattle That Makes Some Services Cost More Than Expected
Seattle also pays taxes through a business tax. In Seattle, businesses are taxed at this time, which can make some services cost more. If you hire a house cleaning service like Maria's Green Cleaning, these business fees may be added to the bottom line. You can use the same logic for other services, like getting your house fixed, going to the spa, or joining a gym. Even though this isn't your paycheck, it can make your overall living costs go up.
Also Check Out Our: Is Seattle Colder Than New York?
If You Live In A House In Seattle, You Will Have To Pay Property Taxes To Support Public Services
Be aware that you will have to pay property taxes if you decide to buy a house in Seattle. Property taxes in Washington State pay for public schools, first responders, and city repairs. The value of your home will be taxed, but compared to other big places, Seattle's tax rates are pretty low. If you rent instead of own, you won't have to pay these taxes directly, but your landlord will probably add them to your rent, which will make living more expensive.
Also Check Out Our: What Are The Highest Paying Jobs In Washington?
Even Though Seattle Is Not Entirely Tax-Free At All, Not Having To Pay A State Income Tax Will Save You Money
There is no state income tax in Seattle, but it is not tax-free either. Higher business taxes, sales taxes, and other fees that add to the cost of life are how the city makes up for it. It's helpful to know about these costs whether you live there or are just visiting so you can plan for them. After that, is Seattle tax-free? No, but at least you don't have to pay a big chunk of your pay to state income tax!