I sold my primary residence in Washington. Can I deduct REET (Real Estate Excise Tax) as a closing cost, or, add it to the cost basis as a transfer tax?

[DianeW777 · Accepted solution]

The Washington (WA) real estate excise tax (REET) would be considered a sales expense.  For this reason, you should include it as part of all your sales expenses, like the transfer tax to reduce any taxable gain. If your home sale qualifies for the exclusion, you may not have any taxable gain. 

• Is money made from a home sale taxable?