Economic Interest Tax

This tax is triggered by either one of the following two elements:

• 80% of the assets of a corporation consist of real property located in the District of Columbia; or
•  More than 50% of the controlling interest of the corporation is being transferred.

The consideration is not always equal to the assessed value of the property. The consideration is what is paid for the interest being transferred. If there is no tangible consideration, then the tax basis will be the assessed value of the property owned by the corporation.

DC Code Citation: Title 42, Chapter 11.

Current Tax Rate(s)

• 2.9% of consideration or fair market value

Estate Tax

Levied on the estate of every decedent dying while a resident of the District, and on the estate of every nonresident decedent owning property having a taxable status in the District at the time of his or her death.

DC Code Citation: Title 47, Chapter 37.

Tax due is determined by using the DC estate tax computation worksheet after computing the exempted amounts.

Insurance Premiums Tax

Gross insurance premiums received on risks in the District, less premiums received for reinsurance assumed, returned premiums and dividends paid to policyholders. The tax is in lieu of all other taxes except real estate taxes and fees provided for by the District's insurance law.

DC Code Citation: Title 35; Title 47, Chapter 26.

• 2.0% on policy and membership fees and net premium receipts.

2.0 percent on health insurance premimiums and HMOs (the 0.3 percent increase will go into the Healthy DC Fund).

Motor Vehicle Excise Tax

Issuance of every original and subsequent certificate of title on motor vehicles and trailers.

DC Code Citation: Title 50, Chapter 22.

Based on manufacturer's shipping weight:

• 6% of fair market value - 3,499 lbs or less
• 7% of fair market value - 3,500 to 4,999 lbs
• 8% of fair market value - more than 5,000 lbs.

Motor Vehicle Fuel Tax

The tax is imposed on every importer of motor fuels, including gasoline, diesel fuel, benzol, benzene, naphtha, kerosene, heating oils, all liquified petroleum gases, and all combustible gases and liquids suitable for the generation of power for motor vehicles.

DC Code Citation: Title 47, Chapter 23

• $0.235 per gallon

Note: All revenue from this tax is dedicated to the Highway Trust Fund.

Public Space Rental

Commercial use of publicly owned property between the property line and the street.

DC Code Citation: Title 10, Chapter 11

Various rates exist for the following: Vault, Sidewalk (enclosed and unenclosed), Sidewalk Surface, and Fuel Oil Tank

Calculations of Vault Rental Fees:
Vault Rental Fee = (assessed value of the land by square foot) x (vault square footage) x (utilization factor)

Note: All revenue from this tax is dedicated to the DC Department of Transportation as special purpose revenue.

Public Utility Tax

Gross receipts of gas, electric and local telephone companies.

DC Code Citation: Title 47, Chapter 25.

Gross Charges:

• 10% - residential
• 11% - nonresidential

Note: 1% of nonresidential utility tax revenues is dedicated to financing construction of a new baseball stadium.

Toll Telecommunications Tax

Gross receipts of companies providing toll telecommunication service in the District.

DC Code Citation: Title 47, Chapter 39.

Gross Charges:

• 10% - residential
• 11% - nonresidential

Note: 1% of nonresidential telecommunication tax revenues is dedicated to financing construction of a new baseball stadium.