SB 6327
In CommitteeSenate
Diapers/sales & use tax
Providing a sales and use tax exemption for adult and baby diapers.
This status may be delayed. See Action History below for the latest updates.
How does a bill become law?
- Introduced: The bill is filed and assigned a number.
- Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
- Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
- Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
- Governor: The Governor reviews the bill and decides whether to sign or veto it.
- Signed: The bill has been signed into law.
AI Analysis
This bill makes sales and use tax exempt for all diapers—both washable and disposable—regardless of the user’s age or gender, to reduce the cost burden on Washington families and individuals managing incontinence. It applies to purchases made on or after October 1, 2026.
- Adds a permanent sales tax exemption for all diapers—both washable and disposable—regardless of who uses them (e.g., babies, adults with incontinence).
- Adds a permanent use tax exemption for diapers, meaning people who buy diapers out-of-state (e.g., online from another state) won’t owe Washington use tax on them.
- Defines a 'diaper' broadly as any absorbent incontinence product worn by someone unable to control bladder or bowel function, regardless of age or sex.
- Requires the Department of Revenue to include this exemption in its annual report on tax exemptions, even though the exemption is permanent and not subject to periodic legislative review.
- States the goal is to reduce the financial burden on families and individuals who need to buy diapers regularly.
Who is affected
- Retailers and distributors of diapers — Families and individuals who buy diapers for themselves or loved ones (e.g., infants, elderly, or people with incontinence) will pay less at checkout because they won’t pay state sales tax on diaper purchases.
- State and local governments — Businesses that sell diapers will no longer collect or remit state sales tax on those items, simplifying their tax reporting for this product category.
- Department of Revenue — The state and local jurisdictions will collect less tax revenue due to the exemption, though the bill does not specify a dollar amount.
- Legislative Oversight Bodies — The department must include the new exemptions in its annual report on tax exemptions, as required by law.
Pro/Con Analysis
Stronger case for concerns
Potential Benefits (2)
Reduces out-of-pocket costs for low- and moderate-income households managing incontinence (e.g., families with infants, caregivers of elderly or disabled adults), who often face high and recurring diaper expenses—this directly improves affordability and access to a basic health-related necessity.
FinancialPeopleRef: Sec. 2 and Sec. 3By lowering the cost barrier, the exemption may improve adherence to incontinence management, potentially reducing complications (e.g., skin infections, UTIs) and associated emergency or primary care utilization—especially for vulnerable populations like nursing home residents or homebound seniors.
HealthcarePeopleRef: Sec. 2 and Sec. 3
Potential Concerns (3)
The bill eliminates sales and use tax on diapers, reducing state and local tax revenue without specifying offsetting revenue measures or cost-saving alternatives—this revenue loss may lead to reduced funding for public services like education, transportation, or healthcare over time, especially since the exemption is permanent and not subject to periodic review.
FinancialRef: Sec. 2 and Sec. 3While the exemption applies to all diapers regardless of age or use, the *absolute dollar savings* are regressive: low-income households (who spend a higher share of income on diapers) gain proportionally more, but the *total revenue loss* is borne by all taxpayers through reduced public services—effectively shifting the cost burden away from general revenue but not compensating for lost services.
FinancialRef: Sec. 2 and Sec. 3The exemption benefits people who use diapers—primarily low-income families, seniors on fixed incomes, and people with disabilities—but the benefit is capped at the amount of tax saved (e.g., ~$2.50 per $25 pack of diapers), so high-volume users (e.g., caregivers of adults with severe incontinence) may save $100–$200/year, while wealthier households save the same absolute amount but at a lower share of their budget.
FinancialPeopleRef: Sec. 2 and Sec. 3
Who Is Most Affected
Low- and moderate-income households with infants, elderly adults, or individuals with disabilities who require regular diaper purchases will see direct out-of-pocket savings—especially impactful for those on fixed incomes or without insurance coverage for incontinence supplies.
Retailers benefit from simplified tax compliance (no need to track diaper-specific tax codes) and potentially higher sales volume due to lower effective prices, though margins may not increase significantly if price reductions are passed through to consumers.
State and local governments lose sales tax revenue permanently, with no identified replacement funding—this could strain budgets for public services, especially if diaper sales grow (e.g., due to aging population or increased diagnosis of incontinence).
People with disabilities (including those with neurological conditions, spinal cord injuries, or developmental disabilities) who rely on incontinence products gain financial relief and improved access to essential supplies—though many may already qualify for Medicaid or other support, this exemption provides universal relief.
Seniors on fixed incomes benefit significantly, as incontinence is common with aging and diaper costs can be substantial over time—this exemption helps preserve limited retirement income for other essentials.