States / District of Columbia

District of Columbia

Last checked Oct 22, 2026

District of Columbia practitioners use about five separate logins for tax and payroll work, run by four offices. The tax side is settled: the Office of Tax and Revenue has run every tax type on FAST Enterprises' GenTax since 2020, under roughly $129.5M in FAST contract ceilings. The payroll side is not. The Department of Employment Services replaced its unemployment benefits system in February 2024, but the employer unemployment tax system is still a mainframe behind a web portal: a 2020 modernization contract with Sagitec drew a Council oversight hearing, and in April 2026 the agency said a new procurement was still in the solicitation phase.

Who administers what

Every fact links to its source and carries a label: Public record Vendor claim Press / secondary

What the state has spent

Contract totals are the approved ceilings or current contract values the sources state, not money paid, and they are added up only where a plain contract figure exists. The yearly average spreads each system's payments over the years they cover (marked p), or, where no payment data was found, its contract total over the contract term (marked c); systems with neither are left out; it is an estimate of the yearly cost, not a reported figure. Payments to date and project budgets or estimates are added up in their own tiles, from the figures shown in the table; the three kinds of figure overlap and are never added together. Follow each system below for its sources.

Portals practitioners use

Leadership and contacts

Checked Oct 30, 2026. People change roles often; confirm on the agency's site before relying on a name.

Chain of command

• Voters
  • Governor: Muriel Bowser
  • Attorney General for the District of Columbia: Brian L. Schwalb Office of the Attorney General for the District of Columbia, Child Support Services Division

Employer account numbers

Checked Oct 24, 2026.

Two DC agencies issue employer numbers: the Office of Tax and Revenue (OTR) issues the withholding account on MyTax.DC.gov, and the Department of Employment Services (DOES) issues the unemployment insurance account in its Employer Self-Service Portal (ESSP). DC Paid Family Leave is reported and paid through the same DOES account. DOES says its UI number is different from the FEIN and from the business tax number OTR assigns.

Layout: 9 is a digit, A is a letter, other characters are shown as the agency writes them. No real account numbers appear on this site.

Employer tax ID numbers for every state researched

Unemployment insurance tax

Checked Nov 3, 2026. Department of Employment Services (DOES), Office of Unemployment Compensation, UI Tax Division

The District's taxable wage base is $9,000 per employee, fixed in D.C. Code 51-103(e)(6) since 1997 and so the same for 2026 and 2027. A newly liable employer pays the prior year's average rate or 2.7%, whichever is higher (2.7% for 2026 in DOL's summary), with no separate construction rate, and experience rates for 2026 run from 1.9% to 7.4%, the range of the highest of the six statutory tables (Table VI). Every employer also pays a 0.2% administrative assessment that cannot be claimed on Form 940.

Taxable wage base

2027: $9,000
2026: $9,000
Not indexed: by D.C. Code 51-103(e)(6) "wages" exclude any amount over $9,000 paid to a person in 1997 or any succeeding calendar year. source Public record

New employer rate

2026: 2.7% The rate is the average rate of contributions paid by all employers during the preceding year, or 2.7%, whichever is higher; DOES's pages state the 2.7% floor but not the computed 2026 average. All new employers, including construction companies, get the same standard rate. Plus the 0.2% administrative assessment. DOL's Significant Provisions (January 2026) lists the DC new employer rate as 2.70%. source Public record

Rate range

2026: 1.9% to 7.4%, Table VI of D.C. Code 51-103(c)(8)(A) (inferred: DOL's range matches Table VI, the highest of six tables chosen by the fund balance as of September 30) From the U.S. Department of Labor's Significant Provisions of State UI Laws, effective January 2026 (the July 2026 edition repeats it); DOL's rates exclude surtaxes, surcharges and non-UI taxes, so the 0.2% administrative assessment is extra. No DOES page read states the 2026 range or table. Table I would run from 0.1% to 5.4%. source Public record

Other assessments

• Administrative assessment: 0.2% of taxable wages (the first $9,000 per employee, a maximum of $18 per employee), paid by rated and reimbursable employers (2026) does not count toward the FUTA credit source Public record

Rate notices

Tax Rate Notices (Form UC-632 or UC-632A) are mailed in December or January.. Protest: A written application for review and redetermination within 30 days of the annual tax rate notice; a rate cannot be reduced for purely economic reasons. source Public record

Voluntary contributions

Not allowed source Public record

Filing

Form UC-30, Employer's Quarterly Contribution and Wage Report (UC-30H for annual household filers)
Due: April 30, July 31, October 31 and January 31; due on the date even if it falls on a non-business day. DOES has no authority to extend the time to file or pay.
Electronic filing: Employers with 250 or more employees must file wage reports electronically on ESSP; all employers are encouraged to.
Employer Self-Service Portal (ESSP) source Public record

FUTA credit reduction

None. None outstanding: the District is not among the jurisdictions in Treasury's Title XII advance records for 2026-11-02 (California and Texas), is not in DOL's table of actual credit reductions for 2010 to 2025, and is not on DOL's list of potential 2026 credit reduction states. source Public record

DC Paid Family Leave is reported and paid through the same DOES account but is a separate tax. The newest DOES UI tax employer handbook found is the January 2022 edition, the source for the notice, assessment and due date details.

Not confirmed: A DOES statement of the table in effect and the 2026 minimum and maximum rates (the range recorded is from DOL's January 2026 summary; one search result attributed a "Tax Table VI" statement to the ESSP landing page, but the saved page shows only 2020 rate text). The computed 2026 new employer rate (average rate of all employers, if above 2.7%); DOL's summary shows 2.70%. 2027 rates and table (not yet published). Voluntary contributions: recorded as not allowed from DOL's 2023 comparison table; no DOES page addresses them.

Unemployment insurance tax in every state

Income tax withholding

Checked Nov 3, 2026

The District withholds income tax only from employees who live in DC: the D.C. Code defines an employee for withholding as an individual residing or domiciled in DC, or keeping a place of abode there 183 days or more, and nonresidents give the employer Form D-4A. Residents file Form D-4 with the employer (OTR lists both forms as under review). No supplemental rate or 2026 withholding tables could be confirmed from the pages that loaded.

Withholding certificate

Form D-4, Employee Withholding Allowance Certificate (OTR notes the D-4 is currently under review). File with the employer when starting new employment or when claimed allowances change; the D.C. Code requires each employee to give the employer a signed withholding exemption certificate on or before starting work. Form D-4A, Certificate of Nonresidence in DC, filed with the employer when requested, by a person whose permanent residence is outside DC all year and who does not reside in DC 183 days or more, or by a service member's spouse (form revised 02/2015; OTR notes it is under review). A D-4A filer who becomes a DC resident must promptly file a D-4. source Public record

Reciprocity

No reciprocal agreements. Employee form: Form D-4A, Certificate of Nonresidence in DC. No reciprocal agreement is needed: under the D.C. Code definition of employee, DC income tax is withheld only from DC residents (domiciled in DC or keeping a place of abode there 183 days or more), so a nonresident who works in DC files Form D-4A and has no DC tax withheld. source Public record

Nonresidents working here

No DC withholding from nonresidents: the withholding duty applies to employees as defined in D.C. Code 47-1801.04(17), individuals with a place of abode, residence or domicile in DC, or a place of abode there for 183 days or more in the year. D.C. Code 47-1812.08(b); D.C. Code 47-1801.04(17); Form D-4A. source Public record

Deposits and returns

• annual (Form FR-900A): Annual wage filer whose threshold is less than $200 per year. Due Deposit by January 20 of the following year; FR-900A for 2026 filed by January 31, 2027
• weekly, semi-weekly, monthly or quarterly (report on Form FR-900Q): As OTR sets up the employer's deposit frequency; the thresholds were not found in the pages read. Due By the 20th day of the following month, or on or before the 20th day of the month after the quarter

Form FR-900Q, Employer/Payor Withholding Tax Quarterly Return, due by the last day of the month after the quarter, even with no tax withheld; FR-900A annual filers do not file FR-900Q. Annual W-2 reporting and FR-900NP are in data/inforeturns/district-of-columbia.json. Since tax year 2023 all withholding returns must be filed electronically on MyTax.DC.gov; a payment over $5,000 per period must be made electronically. MyTax.DC.gov source Public record

Annual reconciliation

FR-900NP, due January 31 (for tax year 2026, January 31, 2027); deposits monthly, by the 20th of the month after the period.. With the W-2 and 1099 filing rules

Household employers report DC withholding on Form FR-900Q under an FEIN since January 2019. Paid Family Leave and unemployment are administered by the Department of Employment Services and are left out.

Not confirmed: OTR's Income Tax Withholding Instructions and Tables page, and the D-4 and D-4A publication pages, returned 403 Forbidden to a plain request; the 2026 withholding formula, any supplemental wage rate, and whether a federal W-4 is accepted in place of Form D-4 were not read. Needs a browser. The liability thresholds OTR uses to assign weekly, semi-weekly, monthly or quarterly deposits are not stated in the 2026 FR-900Q instructions or on the withholding forms page. The withholding to use when a resident employee gives no Form D-4 was not found. The D-4A text quoted is the 02/2015 revision, the version that loaded; OTR says the D-4A is under review.

Withholding rules in every state

Credits for other states' taxes and part-year residents

Checked Nov 3, 2026

DC gives residents an out of state tax credit (Calculation K, entered on Schedule U, Part 1a, line 2) for individual income tax paid to a state, territory or possession, or a political subdivision of one, on income derived there while a DC resident, limited to DC's rate of tax; other states' franchise, unincorporated business and similar taxes do not qualify, but a pass-through entity tax akin to an individual income tax does. A part-year resident files Form D-40 and subtracts, on line 8, the income received while domiciled outside DC. DC taxes only residents, so there is no reverse credit (nonresidents with DC withholding use Form D-40B for a refund), and DC is a Compact member of the Multistate Tax Commission.

Residents: credit for tax paid to other states

Out of State tax credit, Calculation K (one for each state), on DC Schedule U, Additional Miscellaneous Credits and Contributions. Line: Schedule U, Part 1a, line 2, carried with other nonrefundable credits to Form D-40, line 22. Limit: The credit is limited to the rate of tax charged in the District. The tax paid to a state is the total state tax liability on that state's return, not the withholding on Form W-2. Covers: Individual income tax required to be paid and paid to any state, territory or possession of the United States, or political subdivision thereof, on income attributable to it while concurrently a DC resident. No credit for a franchise tax, license tax, excise tax, unincorporated business tax, occupation tax, or any tax so characterized by the other jurisdiction. Yes: the statute quoted by OTR covers political subdivisions of states. Pass-through entity taxes: Yes, by OTR's interpretation: a resident may claim the credit for a pass-through entity tax paid to another state if the tax is akin to an individual net income tax and is not one of the excluded tax types, limited to the DC tax on the resident's share of income taxed at the entity level (OTR Tax Notice 2022-03). Attach: Satisfactory proof of payment, including the individual income tax return filed with the other state. Computed separately for each state on Calculation K. A DC statutory resident may claim the credit for tax paid to other states while concurrently a DC resident; the booklet notes that a statutory resident's state of domicile gives a credit for tax paid to DC. D.C. Code Section 47-1806.04(a); OTR Tax Notice 2022-03. source Public record

Part-year residents: income while a nonresident

Subtracted from income A part-year resident (one who moves into or out of DC intending to establish or abandon DC domicile) files Form D-40, shows the period of domicile on line 2, and subtracts on line 8 the income received while domiciled outside DC: for each type of federal income, the amount received while domiciled in DC is subtracted from the total and the difference is entered on line 8. Credits, exemptions and deductions are prorated by days domiciled in DC. Unemployment benefits are not included on line 8. Form D-40 (part-year oval on line 2; Calculations C and D for deductions). Line: Form D-40, line 8, Income received by a part-year resident during period domiciled outside DC. source Public record

Part-year residents: credit for the period of residence

Available. The statutory credit covers tax paid on income attributable to another jurisdiction while concurrently a DC resident, so a part-year resident claims it for the period of DC residence; credits are prorated by the days domiciled in DC. Calculation K and Schedule U, Part 1a, line 2, with Form D-40. source Public record

Nonresidents: reverse credit

No. DC imposes its income tax on the taxable income of residents; a nonresident who had DC tax withheld files Form D-40B, Nonresident Request for Refund. source Public record

Local income taxes

DC has a single District income tax; the out of state credit covers income tax paid to political subdivisions of states. source Public record

Multistate Tax Compact

Compact member. source Public record

Other interstate rules

• Statutory resident: a person not domiciled in DC who maintains a place of abode in DC for an aggregate of 183 or more days in the year is a full-year resident and reports all income for the year, with temporary absences counted as DC residency. source Public record

Recent and coming changes

• Jan 1, 2025 Interest on obligations of other states and their political subdivisions is now included in DC gross income (an addition on Schedule I, Calculation A, line 7); DC, U.S. territory, DC Water, WMATA and DCHFA obligations stay exempt. source Public record

Tax year 2025 D-40 booklet and OTR Tax Notice 2022-03. Reciprocity is covered in the withholding data (none needed: DC withholds only from residents). The Calculation K worksheet itself did not extract as text from the booklet; the limit is as the Schedule U instructions state it.

Not confirmed: The exact Calculation K formula (how the DC rate limit is applied): the worksheet did not extract as text. Whether tax paid to a foreign country or Canadian province qualifies: the sources read speak of states, territories and possessions. Whether DC has adopted UDITPA or the Compact's apportionment article: the franchise tax apportionment law was not read.

Multistate rules in every state

Business return deadlines and annual reports

Checked Nov 4, 2026

Corporations, including S corporations (which DC treats as C corporations), file the corporation franchise tax return, Form D-20, by April 15, 2026 for calendar 2025, with a six-month extension on DC Form FR-120 (the federal extension is not accepted). Partnerships file Form D-65 by April 15, 2026, and an unincorporated business with more than $12,000 of DC gross income files the franchise tax return Form D-30 instead. Every registered domestic and foreign entity files a biennial report (BRA-25) with DLCP by April 1 of the year after registration and every two years after: $300 for-profit, $80 nonprofit, with a $100 or $50 late fee after April 1.

Corporate return

Franchise tax. Form D-20, Corporation Franchise Tax Return. Due: April 15, 2026 for tax year 2025; fiscal year filers by the 15th day of the 4th month after the fiscal year closes. Exempt organizations (unrelated business income) by the 15th day of the 5th month. For tax year 2025: Apr 15, 2026. Fiscal years: The 15th day of the 4th month following the close of the fiscal year; no separate June 30 rule stated. source Public record

Corporate extension

By request. 6 months (7 months for a combined reporting filer). DC Form FR-120, filed by the return due date; the federal extension form is not used. Not an extension of time to pay; any tax liability is paid with the FR-120 or penalties may apply.

S corporations

No separate return: for DC tax purposes S corporations, including Q-Subs, are C corporations and file Form D-20. Due: Same as Form D-20. For tax year 2025: Apr 15, 2026. Same as Form D-20 (FR-120). source Public record

Partnerships

Form D-65, Partnership Return of Income (partnerships required to file D-30 or D-20 are excepted). Due: April 15, 2026 for tax year 2025; fiscal year filers by the 15th day of the 4th month after the fiscal year closes. For tax year 2025: Apr 15, 2026. DC Form FR-165, filed by the due date; six months, with no further extension. The federal extension form is not used. source Public record

Individuals

Form D-40. For tax year 2025: Apr 15, 2026. Six months with a valid Form FR-127 filed by April 15, 2026; tax is still due April 15. source Public record

Other business returns with a fixed date

• Form D-30, Unincorporated Business Franchise Tax Return: April 15, 2026 for tax year 2025 (fiscal years: the 15th day of the 4th month); six-month extension on Form FR-130. Unincorporated businesses, including LLCs and partnerships, with more than $12,000 of gross income from DC business and sources; at $12,000 or less no franchise or minimum tax is due and Form D-30N may be filed instead. source Public record

Annual report

Filed with the Department of Licensing and Consumer Protection (DLCP), Corporations Division through BOSS (formerly CorpOnline).

The report updates addresses, the registered agent, purpose and beneficial owner information; a foreign entity also attests that it is in compliance in its home jurisdiction. Due date: https://dlcp.dc.gov/page/corporations-division-business-registration-faqs. Dissolution: D.C. Code 29-106.01 and 29-106.02 (https://code.dccouncil.gov/us/dc/council/code/sections/29-106.01).

DC has no separate S corporation return and requires its own extension forms (FR-120, FR-165, FR-130, FR-127) rather than the federal ones. The tax year 2025 booklets state no due date change for tax year 2026.

Not confirmed: The consequence for a foreign entity that does not file its biennial report (revocation of its foreign registration) was not read in the D.C. Code. OTR's tax forms and publications page returned a 403 to an automated read; the booklets themselves downloaded.

Deadlines and annual reports in every state

Electronic payment, penalties and interest

Checked Nov 4, 2026

The District requires electronic payment when the amount due for a period exceeds $5,000; OTR states this in its withholding, sales tax and individual income tax instructions. Late filing and late payment are each 5% of the tax a month up to 25%, with the late filing addition reduced by the late payment addition for months both apply. Interest is fixed in the D.C. Code at 10% a year, compounded daily.

Interest on unpaid tax

Fixed in the D.C. Code at 10% a year, compounded daily, since January 1, 2003 (13% simple in 2001 and 2002); it is not reset, so no separate 2027 rate is announced. Refunds earn one percentage point above the Richmond Federal Reserve Bank's primary credit discount rate as of the previous September 30, rounded to the nearest whole number, not over 6%, and generally only from the 91st day after an individual return's due date (181st day for other returns). Compounding: Daily. D.C. Code sections 47-4201 (underpayments) and 47-4202 (overpayments). source Public record

When tax must be paid electronically

• Withholding: If your payment exceeds $5,000 per period, you must pay electronically. Methods: ACH debit through MyTax.DC.gov (no fee), credit or debit card (processor fee), or ACH credit for business taxpayers (tax type code 00300); International ACH Transactions are not accepted. ACH debit requires a MyTax.DC.gov account; ACH credit needs no registration. source Public record
• Sales and use: If the amount of your payment due for a period exceeds $5,000, you are required to pay electronically through MyTax.DC.gov (stated in the special event sales and use tax booklet). Methods: MyTax.DC.gov. source Public record
• Individual: If the amount of the payment due for a period exceeds $5,000, you must pay electronically (stated with the D-40ES estimated payment vouchers). Methods: MyTax.DC.gov or Modernized e-File (MeF). source Public record

Penalties

Late filing

Covers: Any return required by Title 47 (income, franchise, sales and use, withholding and others). 5% of the tax required to be shown for the first month, plus 5% for each additional month or fraction of a month. Maximum: 25%. D.C. Code section 47-4213(a)(1). source Public record

Late payment

Covers: Tax shown on any return required by Title 47; also tax assessed but not paid within 30 calendar days of notice and demand (section 47-4213(a)(3)). 5% of the tax shown for the first month, plus 5% for each additional month or fraction of a month. Maximum: 25%. Both apply, but for any month in which both apply the late filing addition is reduced by the late payment addition (section 47-4213(b)); interest is charged in addition. D.C. Code section 47-4213(a)(2) and (b). source Public record

Estimated tax, individuals

Charged as interest. 10% a year, compounded daily, assessed automatically. Safe harbor: No interest if the current year's tax is less than $100, there was no DC liability the preceding year, or estimated payments and withholding satisfied 90% of the current year's tax or 110% of the prior year's tax (prior-year test only for a full-year resident); annualized income method allowed. Form: D-2210 (Underpayment of Estimated Income Tax by Individuals), entered on Line 40 of the D-40. source Public record

Estimated tax, corporations

Charged as interest. 10% a year, compounded daily, assessed automatically. Safe harbor: Corporations, financial institutions and unincorporated businesses must pay estimated tax when the year's liability is more than $1,000. No interest if the liability is less than $1,000, there was no DC franchise tax liability the preceding year, estimated payments equal at least 110% of the preceding year's tax, or the remaining tax due after credits and estimates is less than 10% of the year's franchise tax. Form: D-2220 (annualized installments); vouchers D-20ES (corporations) and D-30ES (unincorporated businesses). source Public record

Penalty relief

A penalty is not imposed on the part of an underpayment for which the taxpayer shows reasonable cause and good faith: ordinary business care and prudence but still unable to comply in time. Reasonable cause relief covers the accuracy-related, failure to pay and failure to file penalties, return preparer penalties, personal liability for failure to collect or pay tax, and late deed recording. source Public record

Other penalties

• Accuracy-related: negligence, substantial understatement (more than the greater of 10% of the correct tax or $2,000; $4,000 for taxpayers other than individuals and estates) or substantial valuation misstatement. 20% of the underpayment attributable to it (40% for gross valuation misstatements). source Public record
• Civil fraud. 75% of the underpayment attributable to fraud (D.C. Code section 47-4212). source Public record
• Collection fee on an unpaid balance. One-time 10% of the tax balance due after 90 days; payments apply first to the fee. source Public record
• Dishonored check or electronic payment. $65 fee. source Public record

Withholding deposit schedules and preparer e-file mandates are in data/withholding/district-of-columbia.json and data/practitioner/district-of-columbia.json. OTR's notice of delinquency page describes the late filing or payment penalty as 5% minimum to 25% maximum. Interest is not charged under section 47-4201 on estimated tax underpayments; OTR assesses underpayment of estimated tax interest separately at the same 10%.

Not confirmed: No penalty specific to failing to pay electronically was found; the D.C. Code section behind the $5,000 rule was not read. The current refund (overpayment) rate in percent was not found; only the statutory formula was read. OTR's procedure, form and time limit for requesting a penalty waiver were not found in the sources read (the older Outline of the Estimated Tax Penalty page was not fetched). The statutory basis for the estimated tax interest (section 47-4215 is repealed) was not identified.

Electronic payment, penalties and interest in every state

Disaster relief rules

Checked Nov 4, 2026

The District announces disaster relief case by case: the Office of Tax and Revenue issues a release saying it will follow a specific IRS disaster notice, as it did for Hurricanes Harvey and Irma (2017) and Hurricane Helene (2024), for taxpayers in the FEMA-designated areas the IRS names, including areas outside the District. The Helene relief covered individual, fiduciary, partnership, corporation and unincorporated business franchise returns and payments and estimated payments, but not sales and use tax or withholding. Relief is claimed by writing the disaster name at the top of a paper return or attaching a statement to an electronic return.

When the IRS postpones deadlines

Announces relief case by case Announced per event. Hurricane Helene (October 4, 2024): the Office of Tax and Revenue "will also extend the tax filing and payment deadlines for affected individuals and businesses until May 1, 2025, as outlined in IRS Notice 2024-253." Hurricanes Harvey and Irma (September 14, 2017): OTR "will follow certain federal tax filing deadlines" extended to January 31, 2018 for victims who reside in presidential disaster areas. The areas the IRS designates: for Helene, taxpayers "in any area designated by FEMA" as a disaster area (all of Alabama, Georgia, North Carolina and South Carolina, 41 Florida counties, eight Tennessee counties and six counties and one city in Virginia); individuals and households who reside or have a business in an eligible area qualify. OTR releases "Tax Relief for Victims of Hurricane Helene" (October 4, 2024) and OTR Tax Notice 2017-04; no statute or standing policy identified. source Public record

Taxes covered

Helene: individual, estate, trust, fiduciary, partnership, corporate and unincorporated business franchise tax returns and payments due in the period; filing (not payment) of extended 2023 returns and extended Combined Report returns; filing of extended 2025 personal property tax returns; individual, estate, trust, fiduciary, corporation and unincorporated business estimated tax payments. Not covered: Helene: "This relief will not cover District sales and use tax returns or District withholding." No extension for 2023 tax payments originally due before the hurricane, or for the 2025 personal property tax payment due July 31, 2024. source Public record

How to get relief

Helene: on a paper return, write "Hurricane Helene" in bold letters at the top of the first page; when filing online, attach a separate statement to the District return indicating the disaster. Electronic filers charged late filing penalties and interest contact OTR Customer Service Administration, e-Services unit, at (202) 759-1946. Penalties: D.C. Code section 47-4221 (general rule, not disaster-specific): a penalty is not imposed on a portion of an underpayment if the taxpayer shows reasonable cause and good faith; relief covers accuracy-related, failure to pay, failure to file, preparer, responsible-person and deed recording penalties. source Public record

Where relief is posted

OTR Newsroom (disaster relief releases are posted here)

Both OTR releases read concern disaster areas outside the District, so the relief serves District filers located in those areas.

Not confirmed: No D.C. Code provision authorizing the Chief Financial Officer to postpone deadlines for a disaster was found. Whether OTR followed every IRS postponement since 2024, or only some, was not confirmed; OTR releases for other events were not read. Whether OTR gives relief for a Mayor's emergency declaration alone was not found.

Current disaster relief and every state's rules

Federal tax picture

From the IRS's own statistics: the Data Book for fiscal 2025 and Statistics of Income for tax year 2023. Every state

Collected by type: Individual income tax withheld and FICA tax $32.8B; Individual income tax payments and SECA tax $4.6B; Business income taxes $2.9B; Railroad retirement tax $833M; Estate and trust income tax $231M; Excise taxes $136M; Estate tax $27M; Unemployment insurance tax $19M; Gift tax $0.9M. source Public record

Filers moving in and out, 2022 to 2023

32,848 returns (41,301 people) with $2.8B of income moved in from other states; 31,175 returns (43,869 people) with $3.7B moved out, a net loss of $0.8B in income. source Public record

Minimum wage

Checked Nov 3, 2026. Department of Employment Services (DOES), Office of Wage and Hour

The District's minimum wage changes every July 1: it was $17.95 an hour from July 1, 2025 and is $18.40 from July 1, 2026, for all workers regardless of employer size, indexed to the Washington area CPI-U. The tipped cash wage rose from $10.00 to $10.30 on July 1, 2026, which is 56% of the minimum wage under the 2025 amendment that phases it up to 75% by 2034. The July 1, 2027 rate has not been published yet.

Rate

$17.95 from Jul 1, 2025 In effect January 1 to June 30, 2026.
$18.40 from Jul 1, 2026 July 1, 2026 through June 30, 2027; all workers regardless of employer size.
$18.40 from Jul 1, 2026 In effect January 1 to June 30, 2027; the July 1, 2027 rate is not yet published. source Public record

How it is set

Indexed: Annual average increase, if any, in the CPI-U for the Washington Metropolitan Statistical Area for the previous calendar year, rounded to the nearest $0.05. Announced: Published by the Mayor in the D.C. Register and on the DOES website at least 30 days before the July 1 increase D.C. Code 32-1003(a)(6), (f-1) source Public record

Tipped employees

2026: cash wage $10.00 January 1 to June 30, 2026. If tips plus the base wage do not equal the full minimum wage, the employer pays the difference.
2026: cash wage $10.30 From July 1, 2026: 56% of the minimum wage under D.C. Code 32-1003(f)(6A). Does not apply to District government employees or workers on District contracts (32-1003(i)).
2027: cash wage $10.30 January 1 to June 30, 2027; from July 1, 2027, 56% of the new minimum wage (rises to 60% on July 1, 2028). source Public record

Youth and training wages

Students employed by institutions of higher education may be paid the federal minimum wage; persons employed under the Youth Employment Act are paid under that Act. source Public record

Poster

District of Columbia Minimum Wage Poster (2026)

Recent and coming changes

• Jul 1, 2026 Tipped minimum wage becomes 56% of the minimum wage ($10.30), under D.C. Law 26-55 (amendments to 32-1003(f) apply as of July 25, 2025). source Public record
• Jul 1, 2028 Tipped minimum wage rises to 60% of the minimum wage. source Public record
• Jul 1, 2030 Further steps: 65% on July 1, 2030, 70% on July 1, 2032 and 75% on July 1, 2034. source Public record

Coverage: the District minimum applies to all hours when an employee regularly spends more than 50% of working time in the District (or is based there under 32-1003(b)(2)), and to each hour worked in the District when the employee works at least 2 hours there for the same employer in a workweek. DC is a single jurisdiction, so there are no local minimums.

Not confirmed: July 1, 2027 rate and tipped wage: not yet published; the Mayor must publish it at least 30 days before July 1. DOES web pages (does.dc.gov/page/...) returned an access-denied page asking for JavaScript; the notice and poster PDFs downloaded normally. Maximum tip credit not stated as a dollar figure by DOES; left null.

Minimum wage in every state

Paid family and medical leave

Checked Nov 3, 2026. Collecting contributions

DC Paid Family Leave (the Universal Paid Leave program), run by the Department of Employment Services (DOES) Office of Paid Family Leave, is funded entirely by employers at 0.75% of each covered employee's wages, with no wage cap and no deductions from workers; the 0.75% rate has applied since July 1, 2024 and is set in the D.C. Code without an end date, so it continues into 2027. It is reported and paid quarterly with unemployment insurance through the DOES Employer Self-Service Portal. Contributions began in 2019, and the FY 2027 Budget Support Act cut Medical Leave to 10 weeks, Family Leave to 6 weeks and the weekly maximum to $1,100 from October 1, 2026.

DC Paid Family Leave (Universal Paid Leave)

Kind and agency

Family and medical. Department of Employment Services (DOES), Office of Paid Family Leave. D.C. Code section 32-541.03 (Universal Paid Leave, D.C. Code title 32, chapter 5, subchapter IV).

Started

Contributions from Jul 1, 2019.

Contribution rate

2027: 0.75% of wages Statutory employer rate, which has no end date; the Office of Paid Family Leave says the FY 2027 Budget Support Act did not change employer contributions. No calendar 2027 quarterly table is posted yet.
2026: 0.75% of wages One employer rate covering parental, family, medical and prenatal leave source Public record

Wage base

2027: no dollar cap No cap.
2026: no dollar cap No cap; the same gross wages reported for unemployment insurance, including tipped wages. source Public record

Who pays

Employer: 100%. Employee: None. No. Employers cannot deduct the contributions from workers' pay. source Public record

Small employers

No exemption or reduction: all private employers subject to DC unemployment insurance tax are covered, and the contribution is the same regardless of employer size. Self-employed individuals may opt in. Employers with fewer than 6 employees may report on paper (Form UC30 plus the PFL-30 worksheet). source Public record

Private plans

Not allowed. No opt-out: contributions stay the same regardless of existing employer-provided paid leave or short-term disability plans. source Public record

Filing and payment

Quarterly unemployment insurance wage report (UC30) filed in the DOES Employer Self-Service Portal, which calculates the PFL tax; no separate PFL account or wage report. Household employers and other annual UI filers file annually. Due Last day of the month after the quarter (April 30, July 31, October 31 and January 31); annual filers by April 15 of the next year. DOES Employer Self-Service Portal (ESSP) source Public record

Benefits

From October 1, 2026: Parental 12 weeks, Medical 10 weeks, Family 6 weeks, Prenatal 2 weeks (Medical and Family were 12 weeks before). Sliding scale wage replacement up to 90%. Maximum $1,100 a week in 2026. source Public record

Recent and coming changes

• Oct 1, 2026 FY 2027 Budget Support Act of 2026 (Bill 26-661): Medical Leave falls from 12 to 10 weeks, Family Leave from 12 to 6 weeks, and the weekly benefit maximum from $1,190 to $1,100; Parental and Prenatal Leave and employer contributions are unchanged. source Public record

The rate was 0.62% from 2019 to mid-2022, 0.26% from July 2022 to June 2024, and 0.75% from July 1, 2024. The first contributions were paid on wages for April to June 2019. The 2026 maximum weekly benefit shown is the $1,100 in effect from October 1, 2026; it was $1,190 before that. The Office says the application submission date determines which leave duration rules apply.

Not confirmed: The date benefits began (2020) is not stated on the pages read. No calendar 2027 quarterly rate table is posted; the 2027 rate rests on the D.C. Code text (0.75% with no end date), which was last amended by an emergency act of August 13, 2026.

Paid leave in every state

Sick leave and time off

Checked Nov 5, 2026. Paid sick leave

The District's Accrued Sick and Safe Leave Act requires every employer to give paid sick and safe leave, scaled by size: 1 hour per 37 hours worked up to 7 days a year at 100 or more employees, 1 per 43 up to 5 days at 25 to 99, and 1 per 87 up to 3 days at 24 or fewer. The DC Family and Medical Leave Act gives up to 16 weeks of unpaid family leave and 16 weeks of unpaid medical leave in 24 months at employers with 20 or more employees, with wage replacement from DC Paid Family Leave. No law requires paying out vacation at separation: the employer's policy controls.

Paid sick leave

The law

Accrued Sick and Safe Leave Act of 2008 (as amended by the Earned Sick and Safe Leave Amendment Act of 2013) source Public record

Employers covered

Every employer, including the District government and employers using temporary or staffing agencies, for employees who work in the District. Size is the average monthly number of full-time equivalent employees in the prior calendar year: 100 or more, 25 to 99, or 24 or fewer.

Employees not covered

Unpaid volunteers for nonprofit, religious or charitable organizations; lay members in religious functions; casual babysitters in the employer's home; independent contractors; students as defined (full-time students working fewer than 25 hours a week for their own institution, and Year Round Program for Youth participants); health care workers who choose a premium pay program; DC Public Schools substitute teachers and aides employed 30 or fewer consecutive work days; building and construction workers under a collective bargaining agreement that expressly waives the Act.

How it builds up

100 or more employees: at least 1 hour per 37 hours worked. 25 to 99: 1 hour per 43 hours. 24 or fewer: 1 hour per 87 hours. Tipped restaurant and bar employees: 1 hour per 43 hours at any employer size, paid at the full District minimum wage. Overtime-exempt employees do not accrue for hours beyond 40 a week.

Yearly cap

Not more than 7 days a calendar year (100 or more employees), 5 days (25 to 99, and tipped restaurant and bar employees) or 3 days (24 or fewer). The Department of Employment Services says an employee cannot use more than the yearly maximum in one year.

When use can start

Accrual starts at the beginning of employment; the employee may begin to use leave after 90 days of service.

Carryover

Accrued leave carries over from year to year.

Allowed uses

The employee's own physical or mental illness, injury or condition; medical diagnosis, care or preventive care; care of a family member with those needs; and absences related to stalking, domestic violence or sexual abuse of the employee or a family member (medical care, victim services, counseling, relocation, legal action). Family members: spouse or domestic partner and the spouse's parents, children (including foster children and grandchildren) and their spouses, parents, siblings and their spouses, a child the employee has permanently taken on, and a person in a committed relationship sharing a residence for at least 12 months.

Notice and documentation

Written request with the reason and expected duration; at least 10 days in advance (or as early as possible) when foreseeable; an oral request before the shift when unforeseeable; in an emergency, before the next shift or within 24 hours. The employer may require reasonable certification for 3 or more consecutive days (a health care provider's document, police report, court order or advocate's statement), provided on return to work.

At the end of employment

Not required at termination or resignation, and employers may not cash it out instead of leave. An employee rehired within one year gets back the unused balance and may use it immediately if previously eligible.

PTO policies

Yes: a PTO or universal leave policy need not change if the employee may accrue and use leave at least as generously and for the same purposes, including unscheduled leave.

Employer duties

Post the Mayor's notice in a conspicuous place in English and the languages of employees with limited English (civil penalty up to $100 a day, capped at $500 unless willful); keep records of hours worked and paid leave taken for 3 years (or longer federal standard), with a presumption of violation if records are inadequate.

Enforcement

Department of Employment Services, Office of Wage-Hour, through administrative hearings, and civil actions by employees. $500 in additional damages for each accrued day denied; willful violations carry civil penalties of $1,000, $1,500 and $2,000 per affected employee for first, second and later offenses; back pay, reinstatement, compensatory and punitive damages and fees; complaints within 3 years (tolled while the notice is not posted).

Citation

D.C. Code sections 32-531.01 to 32-531.16, D.C. Law 17-152 (Accrued Sick and Safe Leave Act of 2008), amended by D.C. Law 20-89 (Earned Sick and Safe Leave Amendment Act of 2013, effective February 22, 2014), in effect since Nov 13, 2008

Agency guidance

does.dc.gov

Local laws: Not applicable: the District is a single jurisdiction with no separate city or county governments, so there are no local sick leave ordinances.

Family and medical leave

The law

District of Columbia Family and Medical Leave Act (DCFMLA), D.C. Code sections 32-501 to 32-516 source Public record

Employers covered

Employers with 20 or more persons in the District, including the District government.

Who is eligible

At least 12 consecutive or non-consecutive months with the same employer in the 7 years before the leave and at least 1,000 hours worked in the 12-month period before the leave.

How long

16 workweeks of family leave in any 24-month period, plus 16 workweeks of medical leave in any 24-month period; may be intermittent when medically necessary.

Reasons

Family leave: birth, adoption or foster placement of a child, or a child for whom the employee takes permanent parental responsibility (within 12 months), and care of a family member with a serious health condition (family members include anyone related by blood, legal custody or marriage, and a person sharing a residence in a committed relationship). Medical leave: the employee's own serious health condition.

Paid?

Unpaid; the employee may use paid leave, which counts against the 16 weeks. Wage replacement comes from DC Paid Family Leave (the Universal Paid Leave program, already on the site), which by law gives no job protection beyond the DCFMLA.

Wage replacement: DC Paid Family Leave (Universal Paid Leave). Contribution rates and benefits

Vacation and PTO at the end of employment

Employer policy controls No District law requires paid vacation, and wages owed include remuneration promised under an employment contract. The Department of Employment Services says it can help with a vacation pay claim when the employer has a vacation policy set with the employee at hiring, so the policy controls payout at separation. (D.C. Code section 32-1301(3)) source Public record

Other leave the law requires

Recent and coming changes

• Oct 1, 2026 DC Paid Family Leave benefit weeks were cut by the FY 2027 Budget Support Act: Medical Leave from 12 to 10 weeks and Family Leave from 12 to 6 weeks (Parental and Prenatal Leave unchanged). DCFMLA job-protected leave is unchanged. in effect source Public record

What was checked: Checked D.C. Code 32-531.01 to 32-531.17 (sick and safe leave), the DOES poster and Office of Wage-Hour FAQs, the DCFMLA (32-501 to 32-505 and 32-516), the Universal Paid Leave Amendment Act of 2016 (D.C. Law 21-264), school-event and Emancipation Day leave (32-521.01 to 32-521.03), wage payment (32-1301), juror pay and protection (15-718, 11-1913), leave to vote (1-1001.07a) and pregnancy accommodation (32-1231.03). Military leave provisions found apply only to District government employees. No District law found requires private employers to give holidays off or premium pay, other than the unpaid Emancipation Day leave.

Not confirmed: Whether the District requires the paid leave balance on each pay statement was not found in the sections read; the DOES pay stub FAQ does not list it. The DOES web pages (does.dc.gov/page/...) were not read; the ASSLA poster and the Office of Wage-Hour FAQ PDFs were used. The FAQ PDF is undated. No District statute giving private-sector military, bereavement, bone marrow or organ donation, or emergency responder leave was found; one government index search on military leave returned only District government rules.

Federal law adds unpaid FMLA leave at employers with 50 or more employees and paid sick leave for federal contractors. Sick leave and time off in every state

Sales and use tax

Checked Nov 3, 2026

The District's general sales tax rate is 6%, with higher rates on soft drinks (8%), restaurant meals and on-premises alcohol (10%), lodging (15.95%) and parking (18%); the planned increase to 7% has been postponed, and OTR says 6% stays in place through September 30, 2027. There are no separate local taxes. A remote seller must collect once it has, in the previous or current calendar year, more than $100,000 of gross receipts from retail sales delivered into the District or more than 200 separate retail sales.

State rate

6% D.C. Code § 47-2001 et seq.
Higher rates apply to specific items: soft drinks 8%, prepared food and on-premises alcohol 10%, rental vehicles and certain off-premises alcohol 10.25%, rooms and lodging 15.95%, parking 18%. source Public record

Local taxes

None. The District is a single taxing jurisdiction; OTR's rate list has no local rates. source Public record

Remote sellers

$100,000 or 200 transactions; counts gross: gross receipts from retail sales delivered into the District, including sales to buyers with District exemption certificates and sales through a marketplace; either test sales; Previous calendar year or current calendar year; since Jan 1, 2019. Collect as soon as sales into the District in the current year pass either threshold (no tax is owed on earlier sales that year), and continue through the following calendar year; register on Form FR-500 as a remote seller. The FAQ says more than $100,000 or more than 200 separate retail sales; the 2026 FR-800M/Q/A booklet says gross receipts that exceed $100,000 or 200 or more separate retail sales. source Public record

Marketplace facilitators

Must collect (OTR's FAQ states no threshold for facilitators: a marketplace facilitator registers a marketplace account and collects immediately on all marketplace sales delivered in the District.), since Apr 1, 2019 source Public record

Streamlined Sales Tax

Not a member source Public record

Registration

Certificate of Registration (sales and use tax account on the FR-500 Combined Registration Application), No charge Register Register on MyTax.DC.gov before making taxable sales; OTR issues a Certificate of Registration for each District location, which must be displayed there. Remote sellers use the same FR-500 and say they are a remote seller when prompted; a business that is both a remote seller (or in-District vendor) and a marketplace facilitator registers two accounts. source Public record

Filing

• monthly (FR-800M): Sales and use tax liability of $1,201 or more per period, and all marketplace facilitators and remote sellers
• quarterly (FR-800Q): Liability of $201 to $1,200 per period; new registrants start quarterly unless they are marketplace facilitators
• annual (FR-800A): Liability of $200 or less per period

Due: The 20th day of the month after the end of the monthly, quarterly or annual period; annual returns are due October 20 (the booklet's year runs October 1 to September 30).
Electronic filing: Returns must be filed and paid electronically on MyTax.DC.gov; paper returns are not accepted for tax years 2017 and later.
MyTax.DC.gov source Public record

Certificates

Resale: DC Certificate of Resale (OTR-368), obtained each year through MyTax.DC.gov; valid for one year, with an expiration date, and only with the purchaser's District sales and use tax registration number.. MTC certificate: not accepted. Streamlined certificate: not accepted
Exemptions: Nonprofit organizations apply for District tax-exempt status on Form FR-164 (Application for Exemption) on MyTax.DC.gov. source Public record

Recent and coming changes

• The scheduled increase in the general sales tax rate to 7% has been postponed; OTR says the general rate remains 6% through September 30, 2027. source Public record

Since November 1, 2017 OTR recognizes only resale certificates on its own authorized forms, so another state's certificate or the MTC and Streamlined certificates are not recognized for resale; mtc and sst are set false on that basis.

Not confirmed: The law that scheduled the 7% rate, its original effective date and the law that postponed it were not found; only OTR's site notice was read. The D.C. Code sections for economic nexus (§ 47-2002 and the definition of engaging in business) and marketplace facilitators were not read directly; citations left null. The date the 6% general rate took effect was not read; left null. No vendor discount is described in the OTR pages read; left null.

Sales tax in every state

Credit card surcharges

Checked Nov 4, 2026. No state surcharge law

No District law caps or bars a seller's credit card surcharge. Under the Consumer Protection Procedures Act as rewritten effective September 26, 2026, an advertised or displayed price must include all mandatory fees or charges other than government taxes and fees and shipping, and the Attorney General's restaurant guidance says fees may be charged but must be disclosed clearly and before the order. A separate 2001 law requires the operator of a PIN point-of-sale terminal to disclose any surcharge for using the terminal before it is incurred.

The rule

No District law on a seller's credit card surcharge in general was found. D.C. Code § 26-131.08 (D.C. Law 13-308, 2001) bars the operator of a point-of-sale terminal from imposing a surcharge for use of the terminal unless it is clearly disclosed before the surcharge is incurred and before the customer is obligated to pay; a point-of-sale terminal is defined as a device in a business where a personal identification number is required and sales can be charged directly to the buyer's deposit, loan or credit account.

Cash discounts

No District law on cash discounts was found.

Sales tax on the surcharge

Not stated No Office of Tax and Revenue guidance on a credit card surcharge was found. D.C. Code § 47-2001 defines gross receipts as the total sales prices of vendors' retail sales and does not name card surcharges or convenience fees. source Public record

Price display and fee laws

• Consumer Protection Procedures Act: price must include mandatory fees (D.C. Code § 28-3904(a)(12), as rewritten by D.C. Law 26-187, § 4(f)), from Sep 26, 2026: It is an unfair, deceptive or abusive trade practice to advertise, display or offer a price for a good or service that does not include all mandatory fees or charges, other than taxes or fees imposed by a government and shipping charges actually incurred. The section does not name card surcharges or say whether a fee charged only to customers who pay by card is a mandatory fee. source Public record
• Attorney General consumer alert and business advisory on restaurant fees (D.C. Consumer Protection Procedures Act (D.C. Code § 28-3901 et seq.)), from Mar 7, 2023: The Office of the Attorney General says restaurants may charge fees but may not hide them, put them in fine print, or disclose them only after the diner orders; the type and amount of every fee should be disclosed clearly and prominently at the start of ordering, in person and online. The guidance covers fees and surcharges added to restaurant bills generally and does not single out card surcharges. The advisory lists penalties of up to $5,000 per violation, or $10,000 for a repeat offender, before the 2026 amendments. source Public record

What was checked: Checked the D.C. Code on code.dccouncil.gov: Title 26, Chapter 1A (automated teller machines and point-of-sale terminals, §§ 26-131.02, 26-131.07 to 26-131.09), Chapter 39 of Title 28 (§ 28-3904) and § 47-2001, and the Attorney General's restaurant fee consumer alert (March 7, 2023) and business advisory. D.C. Law 26-187, the Enhancing Consumer Protection Procedures Amendment Act of 2026, rewrote § 28-3904 effective September 26, 2026; the parts of that law delayed until funded (section 4(c), (d), (e), (g) and (h)) do not include the § 28-3904 rewrite in section 4(f). The point-of-sale terminal disclosure law in § 26-131.08 applies only where a PIN is required, so it is described in the rule but not used to set the status. The Fair Swipe Act (B26-0138, 2025) addresses card network interchange fees, not seller surcharges, and was not researched further.

Not confirmed: Whether the mandatory fee rule in § 28-3904(a)(12) is new in D.C. Law 26-187 or carried over from earlier text was not confirmed. A news report quotes an Attorney General spokesperson saying the consumer protection law applies to credit card surcharges like other surcharges; no Attorney General page saying so was found. Office of Tax and Revenue position on sales tax on card surcharges: none found.

Federal law and the card networks' own rules apply in every state. Surcharge rules in every state

Pass-through entity tax

Checked Nov 3, 2026

The District of Columbia has an individual income tax but no elective pass-through entity tax. It already taxes many businesses at the entity level: an unincorporated business engaged in business in the District or with District income (including a partnership or an LLC) files Form D-30 and pays the 8.25% unincorporated business franchise tax, unless its gross income is $12,000 or less, and S corporations are treated as C corporations and file Form D-20 at 8.25%.

Credit for other states' PTET: OTR Tax Notice 2022-03 (March 31, 2022) says a District resident may claim the credit for tax paid to another state for a pass-through entity tax that is akin to an individual net income tax, limited to the District tax on the resident's share of income taxed at the entity level; no credit is allowed for a franchise, license, excise, unincorporated business or occupation tax. Sources: https://otr.cfo.dc.gov/sites/default/files/dc/sites/otr/publication/attachments/OTR_NOTICE_2022-03_State_Credit_for_PTET_3_31_2022.pdf, https://otr.cfo.dc.gov/sites/default/files/dc/sites/otr/publication/attachments/2025_D30_Book_Final_wLinks_02232026.pdf, https://otr.cfo.dc.gov/sites/default/files/dc/sites/otr/publication/attachments/2025_D-20_Book_Final_wLinks_02272026.pdf

Not confirmed: Bill 26-324, the Pass-Through Entities Income Tax and Tax Credit on Certain S Corporations and Partnerships Amendment Act of 2025, would let pass-through entities elect entity-level tax; secondary sources say it was introduced July 11, 2025 and heard by the Committee of the Whole on March 19, 2026. Its status could not be read: the Council's LIMS site needs a browser, and the Chairman's hearing notice was blocked by the web filter. No OTR statement that the District has no PTET was found; the summary rests on the D-30 and D-20 booklets and the pending bill.

Pass-through entity tax in every state

Conformity to the 2025 federal tax law

Checked Nov 3, 2026. Business tax: franchise tax (corporation franchise tax and unincorporated business franchise tax)

The District follows the Internal Revenue Code on a rolling basis (D.C. Code section 47-1801.04(28)) and has long refused bonus depreciation and limited section 179 expensing to $25,000. For tax year 2025 the Council decoupled from 13 provisions of Public Law 119-21 by emergency and temporary acts in December 2025, including research expensing, the EBITDA interest limit, qualified production property, and the tips, overtime, car loan and senior deductions; Congress disapproved the temporary act (Public Law 119-78, February 18, 2026), but the Attorney General concluded that tax year 2025 liability is unchanged and OTR's 2025 instructions still apply the decoupling. For 2026 the treatment is unsettled: the temporary act was set to expire September 25, 2026, after which, absent further legislation, the District reverts to the federal rules except its standing bonus and section 179 limits.

Follows the Code

Rolling: follows the Code as it changes. D.C. Code section 47-1801.04(28)
The Code applies on the same dates it is effective for federal purposes, for both the individual income tax and the franchise taxes. The District departs from it only by specific statute (decoupling), as the Council's November 7, 2025 release explains. source Public record

Starting point

Individuals: federal adjusted gross income
Corporations: own computation source Public record

Response to Public Law 119-21

Decoupled. D.C. Income and Franchise Tax Conformity and Revision Emergency Amendment Act of 2025 (D.C. Act 26-214, effective December 3, 2025, 90 days) and Temporary Amendment Act of 2025 (D.C. Act 26-217, enacted December 20, 2025; D.C. Law 26-89, listed as effective February 12, 2026, 225 days); Congress disapproved the temporary act in H.J. Res. 142, Public Law 119-78, approved February 18, 2026. Years: Tax year 2025 (both acts apply as of January 1, 2025); tax year 2026 not settled
The Council release (November 7, 2025) says the District decoupled 13 of the 84 tax provisions of the federal law. H.J. Res. 142 passed the House February 4, 2026 and the Senate February 12, 2026. OCFO told the Council that enactment of JR 142 would require OTR to suspend the filing season and reprogram to prior law, and sought the Attorney General's guidance. The Attorney General's opinion of February 24, 2026 concluded that HJ 142 did not retroactively alter tax year 2025 liability under the emergency and temporary acts, that HJ 142 did not repeal the temporary act, that the temporary act expires September 25, 2026, and that, absent further legislative action, the District's code then reverts to the federal provisions it had decoupled from. OTR's 2025 D-40, D-30 and combined reporting instructions (D-40 booklet file dated August 2026) still apply the decoupling for 2025. The statute and the agency instructions agree for 2025; Congress's disapproval and the Attorney General's reading differ in effect, so practitioners should confirm with OTR. source Public record

Provision by provision

Other differences

• Section 1202 small business stock: the gain exclusion does not apply; individuals, estates and trusts add back the excluded gain (2025). source Public record
• Non-itemizer charitable deduction (section 170(p), federal from 2026): individuals who do not itemize add back the amount (taxable years beginning after December 31, 2024). source Public record
• Standard deduction: the District set its own basic standard deduction for 2025 ($15,000 single, $22,500 head of household, $30,000 joint) instead of the higher federal amount, and its own filing threshold. source Public record
• Qualified opportunity funds: the act sets District rules for the 10% step-up and 10-year abatement on amounts invested in a QOF after December 31, 2026. source Public record
• Not from the federal law but in the same 2025 changes: interest on other states' bonds is now taxable, the DC earned income tax credit is 100% of federal for 2025, and a $1,000 per child DC child tax credit is enacted for later years. source Public record

Guidance from the state

• 2025 D-40 Individual Income Tax Forms and Instructions: Federal Tax Changes and the District; New for 2025
• 2025 D-30 Unincorporated Business Franchise Tax instructions: DC Income and Franchise Tax Conformity Act of 2025
• 2025 Combined Reporting booklet (D-20): DC Income and Franchise Tax Conformity Act of 2025
• Feb 24, 2026 Opinion of the Attorney General: Impact of House Joint Resolution 142 on the District's Tax Laws
• Jan 29, 2026 OCFO updated fiscal impact statement, D.C. Income and Franchise Tax Conformity and Revision Temporary Amendment Act of 2025

Recent and coming changes

• Feb 18, 2026 Public Law 119-78 (H.J. Res. 142) disapproves the temporary conformity act (D.C. Act 26-217). source Public record
• Sep 25, 2026 The emergency act was in effect until March 3, 2026 and the temporary act was set to expire September 25, 2026; absent further legislation, the District then follows the federal provisions it had decoupled from (Attorney General opinion). source Public record

The decoupling statute is quoted from the D.C. Law Library text of D.C. Act 26-214; D.C. Law 26-89 (the temporary act) has the same provisions. The bonus depreciation and $25,000 section 179 limits are in the permanent code and are not affected by H.J. Res. 142.

Not confirmed: Whether the Council enacted a permanent or new emergency decoupling act for tax year 2026 after the temporary act's September 25, 2026 expiration; none was found in the D.C. Code history notes read, and LIMS (lims.dccouncil.gov) is a JavaScript app that could not be read. OTR has not published a tax notice on the federal law or on H.J. Res. 142; its notices page lists none. Whether OTR changed 2025 processing after the Attorney General opinion is not confirmed beyond the 2025 booklets. congress.gov bill pages returned 403; the Public Law and the engrossed resolution were read on govinfo.gov and congress.gov PDF instead. Treatment of section 179 and 168(n) for 2026 and the remaining 71 untouched federal provisions has no OTR guidance.

Conformity in every state

Pay in job postings

Checked Nov 2, 2026. Pay required in job postings

Since June 30, 2024, every employer with at least one employee in the District (other than the District and federal governments) must state the minimum and maximum projected salary or hourly pay, as a good faith range, in all job listings and position descriptions it advertises, and must tell prospective employees before the first interview whether healthcare benefits are offered. The Mayor assesses fines of $1,000, $5,000 and then $20,000 per violation, and the Attorney General may investigate and sue; there is no private right of action. The same law bars screening applicants on wage history.

Salary history ban: Yes (D.C. Code 32-1452(4) and (5)). An employer may not screen prospective employees on wage history, including by requiring that it meet minimum or maximum criteria or by requiring its disclosure as a condition of an interview or of continued consideration, and may not seek it from a former employer. source Public record

What was checked: Checked: D.C. Code chapter 14A (Wage Transparency), sections 32-1451 to 32-1455, and D.C. Law 25-138 on the Council's D.C. Law Library. No Department of Employment Services or Office of the Attorney General guidance on the 2024 amendments was found.

Not confirmed: Agency guidance or rules on the 2024 amendments (for example on remote jobs, internal postings or what counts as healthcare benefits); none was found and the Office of the Attorney General's and DOES pages were not checked directly. Pending Council bills were not checked.

Pay transparency rules in every state

For tax professionals

Checked Nov 3, 2026. Office of Tax and Revenue (OTR), Office of the Chief Financial Officer

The District's power of attorney is Form D-2848, Power of Attorney and Declaration of Representation, filed by mail or in person or added online in MyTax.DC.gov; no OTR statement on the federal Form 2848 was found. No current paid preparer registration program was found, and paid preparers must put their PTIN on returns. No preparer e-file mandate was found; a representative who also wants to see notices needs separate third party access in MyTax.DC.gov.

Power of attorney

Form D-2848, Power of Attorney and Declaration of Representation (revised 06/2024). Representatives who sign the Declaration of Representative under a designation: attorney, CPA, enrolled agent (with a copy of the IRS PTIN confirmation), officer of the taxpayer, full-time employee, immediate family member, general partner, student attorney or CPA in a low income or student tax clinic, or other. The POA is not valid unless the representative completes, signs and dates the declaration. The tax types, forms and years or periods listed; the representative may represent the taxpayer before OTR, receive and inspect confidential tax information and perform any act the taxpayer can (such as signing agreements and consents), but not receive or cash refund checks unless added. It does not cover any other District agency, including the Office of Administrative Hearings. OTR keeps sending all notices to the taxpayer only. By mail (original) to Office of Tax and Revenue, Customer Service Administration, PO Box 470, Washington, DC 20044-0470, or in person; or online in the taxpayer's MyTax.DC.gov account under More, Registration Details, Add Power of Attorney. No renewal stated. Filing a D-2848 automatically revokes earlier powers of attorney on file for the same matters and periods unless the box is checked and a copy of the POA to keep is attached. form source Public record

Federal Form 2848

Not stated No OTR statement on federal Form 2848 was found; OTR's power of attorney page directs taxpayers to Form D-2848 or the MyTax.DC.gov POA function. source Public record

Information only

No separate information authorization form was found; MyTax.DC.gov third party access is the way a representative sees notices and accounts. On the return: Third Party Designee on Form D-40: entering 'preparer' authorizes the paid preparer to give OTR missing information, ask about processing and refund or payment status, and request, receive and respond to OTR notices about the return; it ends April 15, 2027 and does not allow representation. source Public record

Preparer registration

Not determined

Preparer ID on returns

No District preparer number found; a paid preparer signs the return and gives a PTIN and telephone number. PTIN: required. source Public record

E-file mandate for preparers

No preparer e-file mandate was found. OTR's e-file page says many local preparers participate in DC e-file and the federal return must be e-filed at the same time as the DC return. source Public record

Transcripts and account records

Form CS-001 mailed to Office of Tax and Revenue, Customer Service Administration, 1101 4th Street SW, Washington, DC 20024, for mailing or pick-up at the Customer Service Center. Form CS-001, Request for Certified Copy of Individual or Business Tax Return (Rev. 7/12). Who can ask: The taxpayer (signature, with identification checked by OTR). Certified copies of individual income tax returns and business returns (franchise D-20 or D-30, sales, withholding, personal property, other) for the periods listed; returns for 2000 and earlier are no longer available (a letter of acknowledgment is sent instead). request source Public record

Online access for professionals

MyTax.DC.gov (third party access). Once the taxpayer approves, the third party sees and manages the client's accounts alongside the third party's own in one profile. Both parties need MyTax.DC.gov accounts. The representative goes to Manage My Profile, More, Request Third Party Access, picks the account type and enters the account ID (or FEIN, SSN or ITIN); the taxpayer receives and approves the request in the taxpayer's account. A D-2848 alone does not give access to notices. source Public record

Practitioner line

No practitioner line found; OTR Customer Service (202) 727-4TAX (4829), also for POA questions. source Public record

OTR's Tips for Choosing a Tax Return Preparer page tells taxpayers to check that a preparer has a PTIN and to check the Board of Accountancy or the Bar for credentialed preparers, and mentions no District registration.

Not confirmed: Whether the District has a current paid preparer registration or licensing rule (not found on OTR pages; registration left null) Whether OTR accepts federal Form 2848 Whether any preparer e-file mandate exists for D-40 or business returns Processing time for D-2848; whether a POA added in MyTax.DC.gov needs the representative's signed declaration Fee and turnaround for CS-001, whether a representative can request it, and whether returns or an account transcript can be viewed in MyTax.DC.gov Penalty for omitting a PTIN

Rules for tax professionals in every state

Federal tax data sharing

18 IRS data-sharing agreements with agencies in District of Columbia, for any purpose (TIGTA, as of March 2026) source Public record; FUTA credit certified to the IRS by District of Columbia Department of Employment Services source Public record. How the IRS shares tax data with the states

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