Excise Link Deed For Free

(a) A completed real estate excise tax affidavit is required for transfers by gift. A supplemental statement approved by the department must be completed and attached to the affidavit.

Subscribe to receive email or SMS/text notifications about the Capital Gains tax. The 2021 Washington State Legislature recently passed ESSB 5096 (RCW 82.87) which creates a 7% tax on the sale or exchange of long-term capital assets such as stocks, bonds, business interests, or other investments and tangible assets.

1. A gain of up to $250,000 for those who file as single and $500,000 for those who are married and file jointly is excluded from any tax (note: Washington state does not have a state tax, so gain on sale of a home here is state-tax neutral).

The State of Washington levies a real estate excise tax (REET) upon sales of real estate (chapter 82.45 RCW). While most of this revenue goes to the state general fund, a portion is deposited into certain accounts that are distributed to local governments, including the public works assistance account (RCW 43.155.

No. Washington's capital gains tax does not apply to the sale or exchange of real estate.

Do I owe capital gains tax when I sell real estate? No. Washington's capital gains tax does not apply to the sale or exchange of real estate.

Unless the gift amount exceeds the entire estate exemption (which is $24.12 million for married couples in 2022), no taxes will be due on the gift.

The rate varies based on a number of factors, such as your income and size of gain. Capital gains tax on residential property may be 18% or 28% of the gain (not the total sale price).

Washington State taxes capital gains at a rate of 7%. However, real estate, retirement savings, livestock and timber are exempt from this tax. The state taxes capital gains as income.

Keep in mind that Washington state has its own estate tax. Under current law, the Washington estate tax applies to estates over $2.193 million. However, there is no state gift tax and no state limit on lifetime gifting.