WA Excise Tax Threshold Increases

Click here to view with images.
To ensure delivery to your inbox, please add coo.barimani@cbre.com to your address book.
 
Report
 | 
Intelligent Investment
Washington State
Excise Tax Changes
2023 Brings Updated Sale Price Thresholds
CBRE RESEARCH
 | 
JANUARY 2023
CBRE
Effective January 1, 2023, all property sales in the State of Washington will be subject to a newly formulated excise tax rate. The seasonally adjusted Consumer Price Index (“CPI”) for urban consumers’ shelter costs in the most recent three-year period came to 10.9%. This figure, per Washington’s RCW 82.45.060 legislation, led to a $25,000 increase for each of the four selling price “thresholds,” as presented below:
For The Portion of Selling Price That Is:
Real Estate Sale Excise Tax Rate
Less than or equal to $525,000
1.10%
Greater than $525,000 & less than or equal to $1,525,000
1.28%
Greater than $1,525,000 & less than or equal to $3,025,000
2.75%
Greater than $3,025,000
3.00%
This change in state tax code impacts sales of all residential and commercial property types, with the exception of agricultural land and timberland, which are subject to a flat excise tax rate of 1.28%, regardless of sale price. Although these new thresholds may not be significant enough to inspire a typical property owner to sell at a different time than they otherwise would, they do translate into slightly lower state excise taxes on most properties sold for $500,000 or more.
 
Disclaimer: CBRE and its affiliates make no claims or guarantees with respect to tax obligations. This publication is for information purposes only and is not intended to serve as legal or accounting or tax advice appropriate for any particular factual situations. Investors should consult their own tax, legal and accounting advisors before engaging in any transaction.


Contacts
Coo Barimani
Associate Director
CBRE Research
coo.barimani@cbre.com
Unsubscribe

 You may also unsubscribe by calling toll-free +1 877 CBRE 330 (+1 877 227 3330).

Please consider the environment before printing this email.

CBRE respects your privacy. A copy of our Privacy Policy is available online. For California Residents, our California Privacy Notice is available here. If you have questions or concerns about our compliance with this policy, please email PrivacyAdministrator@cbre.com or write to Attn: Marketing Department, Privacy Administrator, CBRE, 200 Park Ave. 19-22 Floors, New York, NY 10166.

Address: 1420 5th Avenue, Suite 1700, Seattle WA 98101

© Copyright 2025. All rights reserved. This report has been prepared in good faith, based on CBRE's current anecdotal and evidence based views of the commercial real estate market. Although CBRE believes its views reflect market conditions on the date of this presentation, they are subject to significant uncertainties and contingencies, many of which are beyond CBRE's control. In addition, many of CBRE's views are opinion and/or projections based on CBRE's subjective analyses of current market circumstances. Other firms may have different opinions, projections and analyses, and actual market conditions in the future may cause CBRE's current views to later be incorrect. CBRE has no obligation to update its views herein if its opinions, projections, analyses or market circumstances later change.

Nothing in this report should be construed as an indicator of the future performance of CBRE's securities or of the performance of any other company's securities. You should not purchase or sell securities-of CBRE or any other company-based on the views herein. CBRE disclaims all liability for securities purchased or sold based on information herein, and by viewing this report, you waive all claims against CBRE as well as against CBRE's affiliates, officers, directors, employees, agents, advisers and representatives arising out of the accuracy, completeness, adequacy or your use of the information herein.

CBRE and the CBRE logo are service marks of CBRE, Inc. All other marks displayed on this document are the property of their respective owners, and the use of such logos does not imply any affiliation with or endorsement of CBRE.

Photos herein are the property of their respective owners. Use of these images without the express written consent of the owner is prohibited.