Washington, DC Bookkeeping Services
The District taxes businesses like nowhere else in the DMV: franchise taxes that reach even sole proprietors, a Basic Business License its neighbors don’t require, a July 31 personal-property filing on its own calendar — and a sales tax scheduled to rise to 7% on October 1, 2026. DC’s economy of associations, law firms, consultants, and federal contractors runs on those rules. Maxim Liberty has kept DMV books since 2005 — from $75/month.
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Associations, firms, and contractors get a dedicated bookkeeper at $15/hour — daily transaction logging, monthly reconciliations, and books structured for DC’s franchise, license, and property filings. 100% money-back guarantee on the first deposit.
The Franchise-Tax Surprise
DC’s defining quirk: the unincorporated business franchise tax. Sole proprietorships and partnerships with more than $12,000 in DC gross receipts generally file Form D-30 and pay 8.25% at the entity level — something no state around does — subject to a $250 minimum ($1,000 above $1M in receipts), a 30% owner-salary allowance, and a $5,000 exemption. The carve-out that saves many consultants: businesses earning 80%+ from personal services, where capital isn’t a material income factor, are exempt. Whether you qualify is a facts question for your CPA — answered from the clean revenue records we keep.
Washington, DC Tax Cheat Sheet
| Obligation | Rate / Fee | Deadline |
|---|---|---|
| Corporate / unincorporated franchise tax | 8.25% (minimum $250; $1,000 if DC receipts exceed $1M) | Annual returns (D-20 / D-30) |
| Sales & use tax | 6% now — rises to 7% October 1, 2026 | If you collect |
| Basic Business License (BBL) — General Business | $99 two-year / $198 four-year core fee + endorsements | Renewed by license term; Clean Hands certificate required |
| Personal property (Form FP-31) | First $225,000 of value EXEMPT; 3.4% above | File July 31 (even if $0 due) |
| Biennial report (BRA-25) | $300 every two years | April 1 |
| Paid Family Leave (employers) | 0.75% of wages (employer-paid) | Quarterly via DOES |
| Sports Facilities Fee (formerly Ballpark Fee) | $5,500–$16,500 — only at $5M+ DC receipts | June 15 |
Figures from DC OTR, DLCP, and DOES official sources (July 2026); confirm current specifics before filing.
Two Things DC Businesses Should Watch
First, the calendar: sales tax becomes 7% on October 1, 2026 — point-of-sale systems, quotes, and recurring invoices all need the change staged. Second, a classification nuance: DC enumerates “data processing” as taxable, and its definition explicitly reaches computerized payroll and business-accounting services — so a blanket “services aren’t taxed in DC” assumption can bite technology-adjacent service businesses. We keep revenue streams tagged so your CPA can classify each one confidently.
What We Handle for DC Organizations
The District’s 1,000+ associations and nonprofits get fund-level books their boards and auditors trust. Law firms get trust accounting handled with IOLTA-grade care. Government-adjacent consultants get contract-tagged, cost-separated records. Hospitality operators get POS-to-bank tie-outs ready for the October rate change. And every entity gets FP-31, BRA-25, and BBL renewals kept on calendar. Behind? Catch-up bookkeeping restores order fast.
Washington, DC Bookkeeping FAQs
I’m a solo consultant in DC — do I really owe franchise tax?
Possibly not: the 80% personal-services exemption spares many solo professionals. But the determination rests on your actual revenue mix and how capital figures into your income — your CPA makes that call, and it should rest on books that show the mix cleanly. Above $12,000 in DC receipts, the D-30 filing question is live either way.
What is the FP-31 and do I file if I owe nothing?
DC’s personal property return. The first $225,000 of property value is exempt — so most small firms owe $0 — but the return is still due each July 31. It is the quiet deadline DC businesses miss most.
When does the sales tax change and what should we do?
October 1, 2026 — 6% becomes 7%. Update POS configurations, standing quotes, and any recurring invoices before that date; we flag it for every DC client that collects.
Do I need a Basic Business License just to run a consultancy?
Generally yes — unlike Maryland and Virginia, DC requires the BBL for most businesses, with a “General Business” category covering firms without a specific endorsement. Two- or four-year terms, plus DC’s Clean Hands requirement (no outstanding debts to the District) — one more reason filings must stay current.
Do you have a DC office?
We are fully virtual — founded across the river in Vienna, Virginia in 2005 and headquartered in San Juan, Puerto Rico today. Dedicated bookkeeper from $75/month, daily logging, 100% money-back guarantee on your first deposit.
Related Resources
District Rules, Handled by DMV Natives
Dedicated bookkeeping for Washington, DC — from $75/month with a money-back guarantee on your first deposit.