Do nonprofit organizations pay or charge sales tax on their purchases or sales in Washington?
Generally, nonprofit organizations must pay retail sales tax on all purchases of tangible personal property and must collect retail sales tax on their sales of such items. However, nonprofits conducting qualifying fundraising activities may purchase goods and services that will be resold at such events without paying sales tax by issuing a resale certificate (through 12/31/2006) or a reseller permit (effective 1/1/2010) to the seller. Additionally, the income generated from qualifying fundraising event is not subject to either retail sales tax or the business and occupation tax.
