Seattle EA Guide: RSUs, Washington Capital Gains, and Small-Business B&O

3 min read

Last reviewed: 2026-07-21. Local claims below link to the agency or public dataset that owns them.

Seattle's “no state income tax” reputation can make a complicated file look harmless. Then the client mentions RSUs, a large stock sale, consulting revenue, and workdays in California. A careful EA candidate learns to hear those facts as separate research paths instead of one software interview.

Where payroll ends and sourcing begins

Technology, aerospace, maritime trade, health care, and independent professional work shape the metro. Review BLS Seattle occupational data for evidence about jobs and wages. For state rules, Washington's Department of Revenue—not a national “tax-friendly states” list—is the authority.

Seattle cases worth simulating

  • A tech employee with vest-by-vest equity records, an employee stock purchase plan, and workdays across state lines.
  • A consultant who formed a business but has not considered Washington B&O registration or estimated federal tax.
  • An investor with a large sale who may need Washington capital-gains analysis and should not be promised a result at intake.

Washington taxes selected activity, not every paycheck

Washington administers a capital gains tax and a business and occupation tax, each with its own definitions and updates. Keep those questions distinct from federal capital-gain and Schedule C computations.

A Seattle study sprint that mirrors the work

  • Reconstruct one equity statement from grant through vest, sale, and basis reporting.
  • Build a multistate workday calendar exercise with no software, then compare it with official instructions.
  • Practice explaining why Washington can have relevant taxes without a broad wage income tax.

Seattle source control

The federal checkpoint before you book anything

The testing administrator changed in 2026, so skip old testing-vendor walkthroughs. Start with the IRS EA FAQ, then confirm the current scheduling link, test window, fees, and identification rules there. Use the EA cost breakdown for a line-item budget and free verified practice to find the rules you actually need to repair.

Seattle files reward a transaction ledger. Record grant, vest, exercise, sale, work location, and business receipts as separate events; the tax treatment becomes easier to defend.

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