New Bellingham and Lynden Sales Tax Changes for 2026: What Local Businesses Need to Know

Bellingham and Lynden sales tax changes 2026 take effect on January 1, and now is the time for local businesses to review pricing, invoicing, and point-of-sale systems. Even small rate adjustments can create avoidable errors if updates aren’t applied consistently across every platform that calculates or displays sales tax.

Key Takeaways

• Bellingham’s rate will increase to 9.10 percent starting January 1, 2026.
• Lynden’s rate will increase to 9.20 percent on the same date.
• Burlington and Mount Vernon will not see changes at this time.
• Businesses must ensure POS systems, invoicing templates, pricing documents, and tax tables are updated to reflect the new rates.
• Treat this as a small implementation project to avoid under-collected tax or billing errors in early 2026.
• VSH CPAs can help review systems, confirm correct rate setup, and support a smooth transition.

What’s Changing on January 1, 2026

Beginning January 1:

• Bellingham’s sales tax rate increases from 9.00 percent to 9.10 percent
• Lynden’s rate increases from 9.10 percent to 9.20 percent

These updates reflect newly approved public safety taxes of one-tenth of one percent in each city. While Burlington and Mount Vernon rates remain unchanged, businesses operating across multiple locations will need to ensure systems are aligned with the correct jurisdictional rates.

Though small in percentage terms, these adjustments affect every taxable sale in Bellingham and Lynden. Without proper updates, businesses may face under-collected tax, customer billing discrepancies, or reconciliation challenges.

How the 2026 Sales Tax Changes May Affect Your Business

Even a 0.1 percent change can impact multiple business processes. Areas most likely to require attention include:

• Pricing models and proposals that incorporate sales tax
• Invoicing templates and recurring billing setups that calculate tax automatically
• POS systems, ecommerce platforms, and payment processors dependent on location-based tax tables
• Budgeting and forecasting tools used to project revenue and tax remittances
• Spreadsheets, contracts, and engagement letters where old rates may be hard-coded

If you operate in Bellingham or Lynden—or sell into these jurisdictions—these updates should be reviewed before the first 2026 transaction is processed.

Steps to Take Before Year-End

Treat the Bellingham and Lynden sales tax changes 2026 as a structured implementation project rather than a last-minute toggle. A simple checklist can prevent unnecessary issues in January.

1. Map your customer and sales locations

Confirm which customers fall under Bellingham, Lynden, Burlington, or Mount Vernon to ensure the correct rate applies in each jurisdiction.

2. Update tax rates across all systems

Apply the new 2026 rates to your accounting software, POS system, ecommerce platform, and payment processor. Confirm that any location-specific tax codes reflect the updated rates.

3. Review all price lists, proposals, and contracts

Any document referencing “out-the-door” pricing or including embedded tax assumptions should be updated before year-end.

4. Test sample January 2026 invoices

Generate test invoices and receipts dated in January to verify the correct rate is being applied.

How VSH CPAs Can Support Your Transition

Navigating multi-location sales tax changes can feel overwhelming. VSH CPAs helps regional businesses translate “simple” rate adjustments into reliable updates that protect against errors and ensure accurate reporting.

We can assist with:

• Reviewing your sales footprint to confirm where the new rates apply
• Assessing your accounting, billing, and POS configurations for correct 2026 setup
• Designing internal procedures for quoting, invoicing, and remitting sales tax
• Testing sample transactions to ensure accuracy before January 1

Preparing now ensures your first 2026 transactions run smoothly and confidently. If you’d like help reviewing your systems or confirming readiness, our team is here to guide you.

Frequently Asked Questions

1. When do the Bellingham and Lynden sales tax changes 2026 take effect?

The new rates begin January 1, 2026, and must be applied to all taxable sales made on or after that date.

2. Do Burlington or Mount Vernon rates change in 2026?

No. Burlington and Mount Vernon will continue using their current rates.

3. What happens if I don’t update my systems in time?

You may under-collect sales tax, create billing inconsistencies, or face reconciliation issues when filing returns. These errors can lead to penalties or customer disputes.

4. Which systems typically need updates?

Most businesses need to update accounting software, POS systems, ecommerce platforms, payment processors, recurring invoices, proposal templates, and any spreadsheets or documents with embedded rates.

5. How do I know which rate applies to a customer?

Sales tax is generally based on the location where the sale is sourced. Mapping customers by city ensures the correct local rate applies.

6. Can VSH CPAs review our systems for accuracy?

Yes. Our team regularly helps businesses prepare for rate changes by reviewing tax codes, testing invoices, and confirming correct setup across all systems.