Custom computer software

From the 2024 DOR Tax Exemption Study

Exclusions from the definition of digital good are: (a) Telecommunications and ancillary services as defined in RCW 82.04.065. These services may be used to distribute digital goods, digital automated services, and digital codes, but are not themselves any of these products. (b) Computer software as defined in RCW 82.04.215 and WAC 458-20-15502. These are coded instructions designed to cause a comput- er or automatic data processing equipment to perform a task. (c) The internet and internet access as defined in RCW 82.04.297. (d) Professional or personal services represented in electronic form are not a digital good. This exclusion applies where the service primarily involves the application of human effort by the service pro- vider, and the human effort originated after the customer requested the service. For example, an electronic engineering report created at the customer's request that reflects an engineer's professional analy- sis, calculations, and judgment, which is sent to the customer elec- tronically, is considered evidence of a professional service and not a digital good. Photography. This exclusion for professional or personal services does not apply to photographers i