Reminder: New Laws & Regulations Effective Jan. 1
New laws & regulations effective Jan. 1: B&O tax increase, minimum wage increase & start of PFML program employee benefit utilization.
B&O Tax Increase
During the 2019 legislative session, the Legislature approved a B&O tax increase on certain professional services. As of Jan. 1, 2020, there are now four B&O rates for services: 1.5, 1.8, 2.0, and 2.5 percent. Of the four rates, dentists are subject to a B&O tax rate of 1.8 percent.Minimum Wage Increase
As of Jan. 1, 2020, the statewide minimum wage increased from $12 to $13.50 per hour. The minimum wage increase is a result of Initiative 1433, passed in 2016, which instituted a multi-year minimum wage increase across the state.Paid Family and Medical Leave
As of Jan. 1, 2020, employers must offer paid family and medical leave through either the state plan or a voluntary plan. Employees may utilize benefits as of Jan. 1. Employers have already started to remit employee premiums.For more information on these regulations and how to comply, visit wsda.org/regulations.