Starting January 1, 2027, the state of Washington will impose an additional 8% tax on the selling price of a motor vehicle that exceeds $100,000. This is in addition to the existing general sales tax. The luxury tax also applies to the fair market value of a leased vehicle over $100,000.
While it may seem aimed at exotic sports cars and luxury sedans or SUVs, it also applies to motor homes. There will also be an additional 0.5% tax on watercraft and, beginning April 1, a 10% tax on most non-commercial aircraft sales. However, the 8% tax on motor vehicles over $100,000 is likely to have the greatest impact on Valley RV Supercenter customers purchasing motor homes.