Bill > SB5806

This bill creates a voluntary disclosure program within the Washington State Department of Revenue to encourage unregistered taxpayers to register and pay outstanding taxes. The program allows eligible businesses or individuals who have not previously been registered for taxes to come forward, disclose their past taxable activities, and receive penalty and interest relief. To qualify, a voluntary registrant must submit an application before being contacted by the department, not have engaged in fraud, disclose all relevant taxable activities, and attest to meeting the program's requirements. The program will be available from July 1, 2025, to September 30, 2025, during which time the department will waive penalties and interest for tax liabilities incurred while the person was unregistered. The bill references a previous tax amnesty program in 2011 that generated $345.8 million and involved over 5,000 taxpayers, suggesting this new program aims to achieve similar revenue recovery and compliance goals. Importantly, the program does not relieve participants of their obligation to pay actual sales taxes collected but not remitted, and the department retains discretion to rescind penalty relief if the taxpayer's representations are found to be materially different from the facts.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=5806&Year=2025&Initiative=false