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As a small business owner in WA state, I agree that the taxes are confusing. We sell services, so we don't have the use tax. However, I went to one of their tax workshops and asked all sorts of questions and got answers.They had a tax auditor there. It was helpful. The link is:
or call 800-747-7706 to find one in your area.
As for losing money but still paying taxes - you're right, it could happen. (Tax is on gross reciepts, not net income).

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