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Snoqualmie to update B&O tax code after state reclassifies some services as retail
Summary
Finance Director Drew Boutet told the Finance & Administration Committee the city will introduce an ordinance to align its business & occupation (B&O) tax definitions with ESSB 5814, reclassifying several services as retail sales; staff said the change alters reporting but not the city's B&O rate and proposed outreach options.
The Snoqualmie Finance & Administration Committee heard March 18 that the city will update its business-and-occupation (B&O) tax ordinance to conform to a 2025 state law that reclassified certain services as retail sales. Drew Boutet, the city’s finance director, told the committee the change responds to ESSB 5814 and will require adopting the state’s mandatory B&O tax model definitions.
Boutet said the reclassification affects activities including information-technology training, custom website development, investigative/security monitoring, temporary staffing, advertising…
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