Washington Impound of Funds Agreement (WIFE) is a contract between the Washington State Department of Revenue (FOR) and a taxpayer or business that allows for the collection and payment of taxes due to the state. The agreement requires that the taxpayer or business set aside funds from their income and/or assets to pay taxes due to the state. These funds are held in an escrow account and are released to the state only when the taxpayer or business complies with its tax obligations. WIFE agreements are used to ensure the timely payment of taxes and to protect the state's interests in collecting those taxes. There are three types of Washington Impound of Funds Agreement: 1. Voluntary WIFE Agreements — This type of agreement is entered into voluntarily by the taxpayer or business and allows the taxpayer or business to establish an escrow account to pay taxes due to the state. 2. Compulsory WIFE Agreements — This type of agreement is entered into by the FOR when the taxpayer or business has failed to comply with their tax obligations. It is used to ensure the timely payment of taxes due. 3. Tax Collection WIFE Agreements — This type of agreement is also entered into by the FOR when the taxpayer or business has failed to comply with their tax obligations. It is used to collect and pay taxes due to the state.