Taxes and cost of living-Oregon vs. Washington (Seattle, Vancouver: for sale, apartments)

[PanapolicRiddle]

Originally Posted by Seacove

Promoting Seattle's economy is not always ideal. This sounds like another scenario where someone starts by saying no long dark, wet winters right from the beginning. Seattle will be chosen despite the warning of long, dark, wet winters, then three years later after an expensive move, it will be said that they didn't know it would be such long, dark, wet winters.

There is another poster on the Seattle board already preparing to return to Texas. It's a big red flag when the first post says no long, dark, wet winters. We have posters on the Seattle board that have left and years later, still come back to leave negative posts. Just want to emphasize that many posters have mentioned that Seattle gets long, dark, wet winters. The amount of rain may be less that New York or Miami, but it's stretched out over a much longer period and the clouds can lie low for weeks and days are very short in the winter. That way if the choice is made, they can't say they weren't warned.

I was only comparing Seattle/WA to Portland/OR. In terms of dark, dreary winters, they're equivalent.

[NJBest]

Originally Posted by stabbingwestward

I have a question about living in WA and perhaps working in OR or vice-versa. If one lives in Vancouver and works in Portland, does one pay OR any tax or is it based on home of record for work-based taxation? Curious.

The idea intrigues me of living in WA with no state tax and shopping in OR with no sales tax. This is something of having one's cake and eating it, too. Potential idea for us, as my wife and I are looking to move to WA in a couple of years before our toddlers start school. Thank you...

There's really no way to have your cake and eat it too. You will still owe taxes on the goods your purchased whether you purchased them in OR or WA.

[NJBest]

Originally Posted by PanapolicRiddle

Purely in economic terms, I think WA has the edge. While our sales tax is high, it's pretty easy to circumvent this with online shopping. Of course most of us can't buy everything online, but most things.

Unless you plan on evading taxes, you can't really legally circumvent WA taxes on purchased goods.

[StealthRabbit]

Originally Posted by NJBest

Unless you plan on evading taxes, you can't really legally circumvent WA taxes on purchased goods.

only an issue as it applies to WA Use Tax (Purchases / supplies / capital equipment used in WA Businesses.)

Tho the WA DOR has a convenient office IF you want to make a sales tax payment (I am there alot (teaching classes) and have never seen anyone doing this for personal goods)

I can assure you my neighbors do NOT buy their personal tractors and high cost capital goods in WA. Many take 5 minutes to drive to OR to buy their appliances and construction lumber / windows / cabinets to build their homes. (County used to require proof of sales tax on 'permitted' construction projects, but has not for 20 yrs). WA DOR used to be very picky about 'deliveries' of OR goods into WA, but no longer chasing that. (tho they could if they want.) Most of us have huge trucks / semi-trucks that we take to Oregon several times / week. I made 3 trips to Oregon today (to get parts / supplies not available in WA).

My commercial tenants in WA suffer sales loss from sales tax evasion. Border city in WA is NOT a good place to sell high dollar capital goods. (same on east side, tho North side still does fine! (BC residents come to WA for milk and gas... LOTS of milk and gas!!!) Costco in Bellingham cannot keep enough of either commodity on hand. BTDT when I lived in Canadian Gulf Islands. Was a good time to go 'milk free'!

So... I would say 99% of WA residents on OR border have their cake and eat it too (excluding Business USE tax / Amazon purchases (WA based) ). Works from Long Beach to Clarkston (last I knew). Many WA residents keep an OR addy (or OR LLC) for purchases / vehicle registration. (dangerously close to tax evasion, but can be done legally with proper rules / use)

[NJBest]

Originally Posted by StealthRabbit

only an issue as it applies to WA Use Tax (Purchases / supplies / capital equipment used in WA Businesses.)

Tho the WA DOR has a convenient office IF you want to make a sales tax payment (I am there alot (teaching classes) and have never seen anyone doing this for personal goods)

I can assure you my neighbors do NOT buy their personal tractors and high cost capital goods in WA. Many take 5 minutes to drive to OR to buy their appliances and construction lumber / windows / cabinets to build their homes. (County used to require proof of sales tax on 'permitted' construction projects, but has not for 20 yrs). WA DOR used to be very picky about 'deliveries' of OR goods into WA, but no longer chasing that. (tho they could if they want.) Most of us have huge trucks / semi-trucks that we take to Oregon several times / week. I made 3 trips to Oregon today (to get parts / supplies not available in WA).

My commercial tenants in WA suffer sales loss from sales tax evasion. Border city in WA is NOT a good place to sell high dollar capital goods. (same on east side, tho North side still does fine! (BC residents come to WA for milk and gas... LOTS of milk and gas!!!) Costco in Bellingham cannot keep enough of either commodity on hand. BTDT when I lived in Canadian Gulf Islands. Was a good time to go 'milk free'!

So... I would say 99% of WA residents on OR border have their cake and eat it too (excluding Business USE tax / Amazon purchases (WA based) ). Works from Long Beach to Clarkston (last I knew). Many WA residents keep an OR addy (or OR LLC) for purchases / vehicle registration. (dangerously close to tax evasion, but can be done legally with proper rules / use)

Keeping an address in OR for the purpose of saving on taxes is tax evasion. You are required to pay use-tax to WA if you use the purchased good in WA. If it remains at your OR address, you do not have to pay use-tax on it. It seems like you're suggesting that 99% of WA residents are criminals. I doubt that.

[PS90]

Originally Posted by NJBest

Keeping an address in OR for the purpose of saving on taxes is tax evasion. You are required to pay use-tax to WA if you use the purchased good in WA. If it remains at your OR address, you do not have to pay use-tax on it. It seems like you're suggesting that 99% of WA residents are criminals. I doubt that.

Really? You doubt it?

I totally agree with StealthRabbit. I have lived in this state all my life, and have never known anyone who has purposely sent-in a Use Tax after buying something small/personal in OR or MT.

And, I know a few people that keep OR addresses to register their cars or agriculture implements, so they can take them to WA and not pay any sales taxes or WA registration fees.

Whether everyone in WA is a criminal or not for doing this, I don't know. But it absolutely does happen. Very frequently.

[Ultrarunner]

Worked with an engineer that lived in WA yet his business was registered in OR... his vehicles were owned by the OR corporation.

Yes... he did get stopped on occasion and never a problem because he did not own the vehicles.

On a personal note... all I know is I was in for a huge shock when my Thurston County Property Tax increased 80% over my purchase price 18 months prior...

Guess that could happen anywhere except California...

[509]

Originally Posted by NJBest

Keeping an address in OR for the purpose of saving on taxes is tax evasion. You are required to pay use-tax to WA if you use the purchased good in WA. If it remains at your OR address, you do not have to pay use-tax on it. It seems like you're suggesting that 99% of WA residents are criminals. I doubt that.

They are....particularly in the Vancouver/Portland area.

State taxes in Washington are basically.....property, sales taxes and B&O business taxes (these only apply to small business, large corporations are basically exempt).

A western Washington state legislator complained about the fact eastern Washington counties do not pay their fair share of taxes so he asked the state Office of Financial Management to do a county by county analysis of state taxes spent and raised by county.

Lots of interesting stuff came from that study.

Clark County was one of the "welfare" counties receiving more in state funds than the state collects.

I briefly looked at the data.....and the collection of sales taxes is much, much lower than other counties in the state of Washington.

So yes, 99% of Washington residents in Clark County are probably criminals.

[West coast at heart]

So with no sales tax in OR, are the prices higher for the same items in WA and vice versa? Especially if they know that WA come over to avoid sales tax.

Also, I understand why but do not agree with it being illegal to live in WA and buy in OR for the no sales tax. I look at it like shopping around for the best deal. Common sense!

Peace,
wc@h

[StealthRabbit]

Originally Posted by West coast at heart

So with no sales tax in OR, are the prices higher for the same items in WA and vice versa? Especially if they know that WA come over to avoid sales tax.
...

Very tough to be a retail store in WA border counties. Prices are generally less in Oregon, even before the sales tax savings. My WA retail tenants (including 'prepared food') suffer from 'sales tax exodus'. Internet erosion is similar, unless buying on Amazon (WA based, so changes WA sales taxes). I know many WA residents who restrict Amazon buying due to sales tax in WA.

Supply and demand + volume sales.... Of course a high volume store in Portland can sell equivalent item for less than a Vancouver, WA store that sells 3 per yr to the few people who 'shop in WA'. WA has higher business taxes than OR (Outside Multnomah County), so an OR business has additional advantage (Lower cost structure).

Gas is less expensive in OR cuz gas tax is less (and they even pump it for you). Which is a problem when kid attendant insist on filling your diesel vehicle with dangerous gasoline. Happens to a lot of unsuspecting Canadians.