As an incorporated city, one way Bainbridge Island raises revenue is through its Business & Occupation (B&O) Tax levied on businesses doing business on the island. Businesses with gross receipts of more than $150,000 earned on Bainbridge Island are subject to the City’s B&O Tax set at 1/10 of 1%. The tax is filed annually reporting gross revenue for the prior calendar year. This B&O Tax is separate from and in addition to the Washington State B&O Tax.
The City mails a personalized B&O Tax Report to our businesses in January each year. B&O Tax Returns and tax payments are due by April 15th. If the 15th falls on a weekend the return, and any applicable payment is due on the next business day. Full instructions for completing the City's B&O Tax Return and information on penalties are available on the B&O Tax webpage.
Important note: Nonprofit organizations are only subject to Business and Occupation Taxes when undertaking for-profit activities.
If you have questions about the City’s B&O Tax, please contact the Finance Department at (206)780-8591 or firstname.lastname@example.org.