Service Income Apportionment
Service Income Apportionment allows businesses to proportionately divide their taxes among multiple Washington cities in which they do business.
Calculate Service Income Apportionment if you report revenue under the Service and Other Business Activities classification.
Guidelines to follow
Service Income Apportionment applies only to revenue classified as Service and Other Business Activities. If you do not have income to report under this classification, you do not have to calculate it.
Before you calculate Service Income Apportionment, gather the following information:
- total gross service receipts
- customer locations where you do business
- total payroll cost for each employee
- office location of each employee
If you file taxes online using Seattle electronic filing (SELF), then you can calculate Service Income Apportionment in the online system. If you file taxes on paper, download and fill out the Service Income Apportionment worksheet.
Read the code
You can read the Seattle Municipal Code (SMC) for legal details about apportionment of revenue.
SMC Chapter 5.45.081 covers apportionment of revenue.
Seattle business tax rule 5-045 provides further information.