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The amounts received from purses, bonuses, awards, and prizes won within Washington State are subject to the Service B&O tax classification. No deductions are allowed for amounts paid to jockeys, trainers, or other costs of doing business.
Starting October 1: Some business services are now subject to retail sales tax, as required by state law, ESSB 5814. When you buy these services, vendors should add sales tax to your bill. If you sell these services, you should begin collecting retail sales tax. Learn more about Services newly subject to retail sales tax.
