Employment taxes - Washington

Summary of differences between federal and state regulations

Income tax withholding

Washington State does not have a personal or corporate income tax.

Unemployment taxes

All states finance UC primarily through contributions from subject employers on the wages of their covered workers. In addition, three states (Alaska, New Jersey, and Pennsylvania) collect contributions from employees. These taxes are deposited by the state to its account in the UTF in the Federal Treasury, and are withdrawn as needed to pay benefits.

Many states have adopted a higher tax base than what is provided in FUTA. Hawaii's wage base is usually higher and changes periodically. In all states, an employer pays a tax on wages paid to each worker within a calendar year up to the amount specified in state law. In addition, most of the states provide an automatic adjustment of the wage base if federal law is amended to apply to a higher wage base than that specified under state law. As a result of the many variables in states taxable wage bases and rates, benefit formulas, and economic conditions, actual tax rates vary greatly among the states and among individual employers within a state.

Wages subject to unemployment tax in this state equal $30,200.

Minimum and maximum rates in this state are 0.57 and 5.4 %. Rates apply to experience rated employers only and do not include applicable surtaxes or penalties.

State

Contacts

Unemployment taxes
Employment Security Department

Regulations

Unemployment taxes
Title 192 Washington Administrative Code (WAC) Employment Security Department

Federal

ContactsInternal Revenue Service

Regulations Title 26 Code of Federal Regulations, Internal Revenue