Contact
Information
Washington State
Department of Revenue
Taxpayer Account Administration
(360) 902-7175
Helpful links
General Tax Information
http://dor.wa.gov
Tax Incentives
Visit our web site dor.wa.gov,
under “ Quick Clicks” select
“Tax Incentive Programs.”
The information contained in
this fact sheet is current as of
the date of publication and is
intended only as general
information. It does not cover
every aspect of this incentive.
Not all possible applications of
this program are discussed. This
fact sheet does not alter or
supersede any administrative
regulations or rulings issued
by the Department.
The Rural County Business and
Occupation (B&O) Tax Credit
for New Employees provides a
credit against the B&O tax for
each new employment position
filled and maintained by
qualified businesses located
in a rural county or Community
Empowerment Zone (CEZ).
The Program Provides
$2,000 credit for each new qualified
▪
employment position with annual wages
and benefits of $40,000 or less; or
$4,000 credit for each new employment
▪
position with wages and benefits of
more than $40,000 annually.
To be granted the credit, the business’s
average qualified employment positions
at the specific facility must increase by
at least 15 percent over the following four
calendar quarters from the period in
which the employee was hired.
Eligible Area
The list of rural counties is revised annually
(effective July 1 through June 30) by the
Office of Financial Management. Before
making a final investment or hiring decision
based on this program, the business should
confirm the eligibility of an area by visiting
our web site at dor.wa.gov. Under “Quick
Clicks” select “Tax Incentive Programs.”
Near the bottom of our Tax Incentives
page there is a list of Rural Counties and
CEZs, along with maps of the CEZs.
Our online Tax Rate Lookup Tool will also
tell you if a street address is in a Rural
County or CEZ. To access the tool from
our home page click on “Find a sales tax