Equipment purchased for certain University research and development activities may qualify for a sales tax exemption allowed under RCW 82.08.05656, known as the Machinery and Equipment Tax Exemption or "M&E Exemption." The exemption may be applied towards purchases of fixtures, equipment, and support facilities that are an integral and necessary part of pilot scale manufacturing or used directly in University manufacturing or research and development activities as defined in RCW 82.63.010 (16).
Note: Items with a total cost of $200 or more may qualify for this exemption. The M&E Exemption does not tie the tax exemption to the University of Washington's capitalization threshold of $5,000.