Free Car Rental Agreement Template for Washington

Renting out vehicles in Washington

Washington adds a dedicated rental car tax on top of retail sales tax for rentals of 30 days or less, and the rate changed significantly in 2026. Because the extra tax only applies to short rentals, your agreement should state the rental period unambiguously.

What is specific to Washington

• Washington imposes a rental car tax on retail car rentals of 30 consecutive days or less, in addition to retail sales tax, administered by the Department of Revenue.
• The rental car tax rate increased from 5.9% to 11.9% on January 1, 2026, and is scheduled to decrease to 9.9% in 2027 under ESSB 5801.

Checklist for your Washington agreement

• Confirm the current rental car tax rate on the Department of Revenue page before quoting totals; the rate is changing year to year.
• The extra tax applies to rentals of 30 days or less; state the rental period precisely.
• Local rental car taxes can apply on top of the state rate in some areas.
• Document condition with dated photos and the damage diagram at pickup and return.

This page is general information for rental operators, not legal or tax advice. Rates and rules change; verify against the official sources below and consult a professional for your situation.