All retail sales, leases and transfers of motor vehicles are subject to the additional sales tax (or use tax) of three-tenths of one percent (0.3%).
The tax is collected by the vendor at the time of purchase and submitted by the vendor on the excise tax return.
If sales tax was not paid at the time of purchase, use tax applies at the time the vehicle is registered with the Department of Licensing. This would occur if a vehicle was purchased from a private party or if it was purchased outside of Washington.
The rate is .003 of the net price paid by the purchaser. This tax is in addition to other applicable taxes.
The funds are used to finance transportation improvements.