About Your Taxes

 

Property Tax

In 2012, Clyde Hill property owners paid over $11.2 million in property taxes to nine different entities.  Although property taxes are the City's main source of operating revenue, Clyde Hill will receive about 8.5% of the total amount residents pay to fund all local government services (i.e. police, fire, streets, storm sewers, etc).  Many residents have the impression that most of their property tax goes to pay for City services…This is not true.  In fact, Clyde Hill has the 3rd lowest city property tax rate of all the 39 King County cities/towns. 

 

Sales Tax

The City of Clyde Hill receives less than 1% (.85%) of the 9.5% sales tax paid for eligible goods and services purchased in Clyde Hill.  By far the most important sales tax revenue source for the City comes from contractors building new homes and major remodeling projects.  Other important sales tax contributors for Clyde Hill include automobile leasing, landscaping, sales at the local gas station and Tully’s.
 
To avoid errors, please let your car dealership or service provider know that you live in the City of Clyde Hill (not Bellevue) and your sales tax code is 1708.
 
The following table shows how your sales tax is distributed for common goods and services (construction & remodeling activity, landscaping, auto leases, etc.) purchased in Clyde Hill: 

 

Jurisdiction Rate
State of Washington 6.50%
King County/METRO 0.80%
King County Criminal Justice Levy 0.10%
City of Clyde Hill (0.15% remitted to King County) 1.00%
Regional Transit Authority (Sound Transit) 0.90%
Expand Metro Bus Service (Effective 04/01/07) 0.10%
King County Mental Health Treatment Services (Effective 04/01/08) 0.10%
Total Sales Tax Rate 9.50%


 
When you have goods delivered or services performed at your home (construction work, landscaping, appliance deliveries...) please ask the merchant to write the City of Clyde Hill Sales Tax Number 1708 on their copy of your invoice.  When companies report their sales tax collections to the Department of Revenue, a portion of the sales tax will be returned to the City and used for local projects and local services.  Because the City shares a zip code number, the sales tax you pay often goes to Bellevue and is not used locally in Clyde Hill.


 

Utility Taxes and Franchise Fees

 

 Because the City funds only 28% of its operations from property taxes, it relies on utility taxes and franchise fees as a primary operating revenue source.  These taxes and fees are imposed on companies that have their facilities located in or use the City’s rights-of-way.  The companies are required to pay these fees in order to do business in the community and use the City's rights-of-ways for their business.  It is up to them whether or not they pass those costs on to their customers.
 
Not all utilities are taxed the same.  The State placed caps on a few of the utility tax rates.  Clyde Hill utilities are taxed in the following way:

 

 

Company – Service Utility Tax Rate Franchise Fee Rate
PSE – Electricity 6% 0%
PSE – Gas 6% 0%
Century Link – Phone (local access) 6% 0%
Republic Services – Garbage 4% 5.5%
Comcast – Cable TV 9% 5%
Many – Long Distance 0% 0%
Many – Cellular Phone 6% 0%
Bellevue – Water 0% 9%
Bellevue – Sewer 0% 9%