Washington Estate Tax: 2026 Exemption, Rates & Filing Guide
Washington estate tax explained: 2026 exemption changes, 10%–20% rates after July 1, filing deadlines, married couples, and planning for founders.
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The Startup Law Blog
Practical legal guidance on QSBS (Section 1202), equity compensation, startup formation, financing, and Washington State tax issues for founders, investors, and startup employees.
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Washington’s Millionaires’ Tax Can Reach Business Profits You Haven’t Received
If you own an S corporation or an LLC taxed as a partnership, your cash distributions don’t determine your tax bill. Retaining profits in the business can leave you with a personal tax obligation—and less cash to pay it.
Moving from California to Washington Before a Startup Exit: What You Can Save
Moving before a startup exit can change the state tax result. Review QSBS eligibility, California residency, equity compensation, and Washington taxes before a sale.
Washington Now Expects 25,000 Households to Pay the Income Tax, Not 21,000
Washington's estimate rose from 21,000 households to 25,000. The revision highlights a planning risk: the $1 million deduction may not keep pace with inflation. Sections 314 and 316 explain why—and leave an indexing question unresolved.
Deferred (and Unpaid) Salary: A Trap for Founders
Unpaid founder salary can create wage liability. A covered arrangement that violates Section 409A can also trigger a 20% additional tax and premium interest. Here’s what to check.
BOI Reporting Is Over for U.S. Companies: FinCEN's Final Rule, Explained
FinCEN's August 2026 final rule exempts U.S.-formed companies from federal BOI reporting. What remains for foreign entities, and what FinCEN says about deleting prior data.
Never Signed Your Founder Stock Purchase Agreement? You May Have a QSBS Problem
Missing stock certificates and an uncompleted issuance are different problems. Review ownership evidence, corporate approvals, Section 83(b), and QSBS timing before relying on an early acquisition date.
Sell the House, Ship the Ferraris: Washington Tax Planning for a Collection Sale
Planning a sale of art, jewelry, or collector cars? Washington’s 30-day safe harbor and the property’s location can change the capital gains tax result. The calendar matters.
QSBS Balance Sheet Testing for Qualified and Non-Qualified Business Activities
A company with qualified and non-qualified business activities must monitor its asset mix for QSBS. Learn how the 80% value-based test and separate statutory restrictions apply.
Seattle Payroll Expense Tax (2026): JumpStart Tax, Social Housing Tax & Startup Costs
Seattle payroll expense tax (JumpStart tax) and Seattle Social Housing tax explained: 2026 thresholds, rates, equity compensation, and sourcing for remote and hybrid teams.