On Jan. 1, bottled water will no longer be subject to sales tax, but “sports” drinks that contain sweeteners will be taxable. Juice will also be taxable if they contain 50 percent or less vegetable or fruit juice.

The revised definitions of food products are part of an effort by 41 states to simplify the collection of sales taxes by businesses that operate in multiple states. The new definitions align Washington’s taxation of foods and food ingredients with a national Streamlined Sales and Use Tax Agreement. The Legislature adopted the changes during its 2003 session.

The Department of Revenue is conducting workshops around the state to educate retailers on the changes.

Sparkling water and club soda – once taxable because they were carbonated beverages – no longer will be taxable unless they contain sweeteners.

The factors for determining when prepared foods are taxable will also be changing. If a product is heated or served with utensils, or the seller combines two or more ingredients, the sales tax will apply. Subtle changes are also being made to the taxability of food supplements.

Another change affects ice. Crushed, shaved or cubed ice will no longer be taxable, but blocks of ice will remain taxable.

For more information visit dor.wa.gov and select the link to the special notice.