Washington Estate Tax: 2026 Exemption, Rates & Filing Guide
Washington estate tax explained: 2026 exemption changes, 10%–20% rates after July 1, filing deadlines, married couples, and planning for founders.
The Startup Law Blog
Practical legal guidance on QSBS (Section 1202), equity compensation, startup formation, financing, and Washington State tax issues for founders, investors, and startup employees.
Latest posts
The Warning That Should Be in the Voters' Pamphlet: Washington's "Millionaires' Tax" Reaches Business Income You Never Received
Your business keeps the profits. You owe the tax. The cash-flow warning missing from Washington's voters' pamphlet.
Washington Now Expects 25,000 Households to Pay the Income Tax, Not 21,000
Washington's estimate rose from 21,000 households to 25,000. The revision highlights a planning risk: the $1 million deduction may not keep pace with inflation. Sections 314 and 316 explain why—and leave an indexing question unresolved.
Deferred (and Unpaid) Salary: A Trap for Founders
Deferred founder salary is a two-headed trap: personal liability for double damages under Washington's wage statutes, and a 20% Section 409A penalty on the recipient. Here's how to structure pay correctly.
BOI Reporting Is Over for U.S. Companies: FinCEN's Final Rule, Explained
FinCEN's final rule, effective August 14, 2026, permanently ends beneficial ownership (BOI) reporting for U.S. companies and U.S. persons under the Corporate Transparency Act — and FinCEN will delete previously reported U.S. person data.
Never Signed Your Founder Stock Purchase Agreement? You May Have a QSBS Problem
Missing certificates don't hurt QSBS — but a missing issuance does. No signed SPA, no board consent, no payment can move your §1202 holding period and gross assets test years later than you think. Usually fixable; fix it before diligence.
Sell the House, Ship the Ferraris: Washington Tax Planning for a Collection Sale
Planning a sale of art, jewelry, or collector cars? Washington’s 30-day safe harbor and the property’s location can change the capital gains tax result. The calendar matters.
Seattle Payroll Expense Tax (2026): JumpStart Tax, Social Housing Tax & Startup Costs
Seattle payroll expense tax (JumpStart tax) and Seattle Social Housing tax explained: 2026 thresholds, rates, equity compensation, and sourcing for remote and hybrid teams.