Business & Occupation Tax

  1. Overview
  2. Forms
  3. Other Taxes
Apply for a new license, renew an existing license, file taxes, or update business information by visiting www.FileLocal-WA.gov. On FileLocal there is a $5 minimum fee when you apply for a license or submit a return. The fee is made up of a $4 user fee per city per payment and a service fee per city per payment based upon payment type. The service fee is a flat rate of $1 for ACH Debit and for credit/debit cards it is 3%.

The Bremerton business and occupation tax (B & O tax) , or gross receipts tax, is applied to the gross revenue that businesses earn within the city. It is measured on the value of products, gross proceeds of sales or gross income the business receives. 

The Bremerton B & O tax is not the same as the Washington state B & O tax. You must file your Bremerton taxes separately from your state taxes. To learn more about the state B & O tax, visit the Washington State Department of Revenue's website.

Overview


If you do business in Bremerton, you must:

  • have a Bremerton business license
  • file a business license tax return
In 2019, the first $200,000 of taxable gross revenue that you earn in Bremerton is exempt from Bremerton B & O tax.

You are required to file a tax form even if there is no balance due.

Tax Rate


The Bremerton B & O tax varies by business type:

Type  Rate
 Retail Sales and Retail Services  0.00125 (.125%)
 Wholesale  0.00160 (.160%)
 Service  0.00200 (.200%)
 Manufacturing  0.00200 (.200%)
Please contact our office or refer to the Bremerton Municipal Code for other types of taxes and rates.

How the Tax Works


Your gross revenue determines the amount of tax you pay. To calculate this amount, multiply your taxable gross revenue amount by the tax rate.

For example, the 2019 retail B & O tax rate is 0.00125 (.125%). If your business grosses $250,000 in Bremerton during 2019 you would list $250,000 as your gross revenue, then deduct the allowed exemption of $200,000 from the gross. The taxable revenue is $50,000 with is multiplied by the tax rate .00125, for a tax liability of $62.50.

2019 Gross   250,000
Less Exemption -200,000
Taxable Revenue  = 50,000 
Multiply by Tax Rate  x    125% 
2019 Tax Liability  =   62.50 

Past Exemptions


Year  Exemption 
2019  $200,000 
2018 $180,000
2017 $160,000
2016 $140,000
2015 $120,000

Read the code


You can read the Bremerton Municipal Code (BMC) Chapter 3.48 for details about the Bremerton business and occupation tax. 

Other Resources


By clicking on the name of the city, Access Washington will help you determine the tax and licensing requirements for that city in Washington State. 

The Washington State Office of Regulatory Assistance was created to help businesses navigate the permitting and licensing required by local cities, counties, state and federal agencies.  They also provide small business assistance and strive to help businesses plan, run, grow and even close a business in Washington State.

The U.S. Small Business Administration provides information on how to buy, merge or acquire a business,  how to obtain loans and funding, as well as material regarding setting up a business as a veteran or as a minority in Washington State.