Concerning newspapers and eligible digital content.

Publishers get tax breaks with reporting

Washington exempts income from printing or publishing newspapers and publishing eligible digital content from its business and occupation tax. The law takes effect July 27, 2025; replacement rules begin January 1, 2026, and expire January 1, 2034. Claimants generally must earn more than 50% of their worldwide gross business income from covered activities. An affiliated business can qualify when it previously performed these activities, even though they were not its main business. Digital content must appear at least monthly and be available only electronically. Its largest category of written material, measured by word count, must identify the author or original source. The exemption also covers eligible digital publishers that reported under the printing and publishing tax for 2008. Exempt amounts are reduced by legally defined expenditures made during the tax reporting period. For businesses primarily engaged in covered activities, one fixed charge covering both a newspaper and another publication is fully exempt. This applies to advertising, subscriptions, or content access. Starting January 1, 2026, claimants must file a complete annual tax performance report with the Department of Revenue. Failure to report triggers tax consequences based on 0.484% of gross income from covered activities. If the department finds a claimant ineligible, tax at that rate is due immediately. Interest runs from the date the exemption was claimed until payment, at the delinquent excise tax rate, without penalties.