No Tax Exemption For Oregon Residents In Washington

A Washington bill that change the limits on sales tax exemptions for Oregonians shopping in that state takes effect today. Thanks to ESSB 5997, Oregon residents will no loner automatically be free of Washinton’s 6.5% sales tax at the cash register.  Instead, they’ll need to submit an annual application to Washington asking for reimbursement of sales taxes they’ve paid in excess of $25. By keeping the first $25 worth of sales tax and by requiring a document be submitted, the state estimated it would generate more than $53 million in additional revenue over the next biennium. Retailers in Washington towns bordering Oregon were not happy with the measure, but didn’t have the votes to defeat it in Olympia.