DOR has posted guidance on a new peer-to-peer car-sharing tax. Beginning January 1, 2027, a 9.9% (.099) tax applies to peer-to-peer car-sharing transactions in Washington when the vehicle was purchased using a reseller permit or other approved exemption certificate. The tax is in addition to retail sales tax. Platforms collect it at the start of the car-sharing period and report it on the excise tax return under the Peer-To-Peer Car-Sharing classification. Owners must provide a declaration showing whether the vehicle was purchased with such an exemption; platforms keep those forms five years. This matters for P2P platforms and owners listing vehicles (especially reseller-permit purchases). It does not apply to every shared vehicle, does not replace retail sales tax, and excludes ordinary retail car rental / rental-car businesses.
Special notice
Washington’s new 9.9% peer-to-peer car-sharing tax starts Jan. 1, 2027
Beginning January 1, 2027, a 9.9% (.099) tax applies to peer-to-peer car-sharing transactions in Washington when the vehicle was purchased using a reseller permit or other approved exemption certificate. The tax is in addition to retail sales tax.
Published: Oct 1, 2026Source checked: Oct 1, 2026