The University of Washington must pay sales tax on most merchandise purchased for operations of the University.
Sales tax: applies to tangible personal property for those vendors subject to collect Washington State sales tax. As an example, if you purchase a chair from a local supplier or an out-of-state supplier who collect Washington State sales tax, you will be expected to pay the current tax rate. The out-of-state supplier will bill you the rate applicable at the point of delivery. A local supplier will bill the rate associated with the location of the delivery of the good purchased.
Use tax: application generally will effect transactions for out-of-state supplier transactions. As an example when a chair is purchased from a vendor with no obligation to collect Washington State tax, the invoice will be for the selling price and shipping charge. The PAS system will automatically charge use tax if sales tax is not charged.
Tax Exempt: If the item being purchased is deemed tax exempt, and the purchase is made with an out-of-state vendor, use tax should not be charged. The department placing the order must coordinate with the Buyer in the UW Purchasing Department to make sure the purchase order is coded tax exempt in PAS. If this is not done, the system will default to use tax automatically, resulting in overcharging the department budget.
To submit a use tax correction, visit the Use Tax Correction Report in PDR. Instructions on how to submit a correction using this application can be found here. A history of the corrections submitted for processing can be found on the Use Tax History Report under the Accounts Payable or ProCard folder in PDR.
Budgets should be reviewed regularly and departments should submit correction requests immediately upon discovery of an error.Contact Procurement Customer Service at (206) 543-4500 or email@example.com with any questions on this report.
NOTE: on ProCard transactions, departments are required to attach a copy the invoice within the web form. Most standard file formats will be accepted.
Approved: the request has been reviewed and approved by the Central Office.
Rejected: the request has been reviewed and rejected by the Central Office. You may be able to resubmit the request upon completion of any adjustments required by Central Office.
Batched: the correction has been submitted for processing by the Central Office.