Commercial deep-sea fishing

Wholesale sales of fish

Your income from sales of fish to resellers in Washington is subject to business and occupation (B&O) tax under the Wholesaling classification when the buyer provides a valid reseller permit. You do not have to collect retail sales tax on wholesale sales.

You must keep copies of reseller permits for five years.

Retail sales of fish

Your income from sales of fish to Washington consumers is subject to B&O tax under the Retailing classification. You do not have to collect sales tax on fish sold for human consumption. You must report the gross amount of such sales as Retail Sales and then take an Exempt Food Sales deduction.

Fish sold for purposes other than human consumption, such as pet food or bait, is not considered exempt food or food ingredients. This means you must collect sales tax unless the buyer provides a valid exemption certificate.

Interstate sales of fish

Fish delivered to buyers outside of Washington is exempt from B&O and retail sales tax. You must include such sales in the gross amounts reported and then take an Interstate and Foreign Sales deduction from the applicable classifications.

Enhanced food fish tax

In addition to B&O tax, commercial fish buyers and sellers may be liable for the enhanced food fish tax. This tax applies to the value of the fish when first landed. This tax also applies to byproducts and parts of seafood.

For more information, please see the Enhanced food fish tax section of this guide.

Litter tax

You must report Litter tax on both wholesale and retail sales of fish that is for human or pet consumption.

Definitions

Commercial deep sea fishing means fishing done for profit outside the territorial waters of the state of Washington. It does not include sport fishing or the operation of charter boats for sport fishing. The phrase also does not apply to fishing methods that can only be legally performed in Washington waters: kelping, purse seining, or gill netting.