title: RCW 82.08.010

text:
For the purposes of this chapter:
(1)(a)(i) "Selling price" includes "sales price." "Sales price" means the total amount of consideration, except separately stated trade-in property of like kind, including cash, credit, property, and services, for which tangible personal property, extended warranties, digital goods, digital codes, digital automated services, or other services or anything else defined as a "retail sale" under RCW 82.04.050 are sold, leased, or rented, valued in money, whether received in money or otherwise. Except as otherwise provided in this subsection (1), no deduction from the total amount of consideration is allowed for the following: (A) The seller's cost of the property sold; (B) the cost of materials used, labor or service cost, interest, losses, all costs of transportation to the seller, all taxes imposed on the seller, and any other expense of the seller; (C) charges by the seller for any services necessary to complete the sale, other than delivery and installation charges; (D) delivery charges; and (E) installation charges.
(ii) When tangible personal property is rented or leased under circumstances that the consideration paid does not represent a reasonable rental for the use of the articles so rented or leased, the "selling price" must be determined as nearly as possible according to the value of such use at the places of use of similar products of like quality and character under such rules as the department may prescribe;
(b) "Selling price" or "sales price" does not include: Discounts, including cash, term, or coupons that are not reimbursed by a third party that are allowed by a seller and taken by a purchaser on a sale; interest, financing, and carrying charges from credit extended on the sale of tangible personal property, extended warranties, digital goods, digital codes, digital automated services, or other services or anything else defined as a retail sale in RCW 82.04.050, if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and any taxes legally imposed directly on the consumer, or collected from the consumer pursuant to RCW 35.87A.010(2)(b), that are separately stated on the invoice, bill of sale, or similar document given to the purchaser;
(c) "Selling price" or "sales price" includes consideration received by the seller from a third party if:
(i) The seller actually receives consideration from a party other than the purchaser, and the consideration is directly related to a price reduction or discount on the sale;
(ii) The seller has an obligation to pass the price reduction or discount through to the purchaser;
(iii) The amount of the consideration attributable to the sale is fixed and determinable by the seller at the time of the sale of the item to the purchaser; and
(iv) One of the criteria in this subsection (1)(c)(iv) is met:
(A) The purchaser presents a coupon, certificate, or other documentation to the seller to claim a price reduction or discount where the coupon, certificate, or documentation is authorized, distributed, or granted by a third party with the understanding that the third party will reimburse any seller to whom the coupon, certificate, or documentation is presented;
(B) The purchaser identifies himself or herself to the seller as a member of a group or organization entitled to a price reduction or discount, however a "preferred customer" card that is available to any patron does not constitute membership in such a group; or
(C) The price reduction or discount is identified as a third party price reduction or discount on the invoice received by the purchaser or on a coupon, certificate, or other documentation presented by the purchaser.
(2)(a)(i) "Seller" means every person, including the state and its departments and institutions, making sales at retail or retail sales to a buyer, purchaser, or consumer, whether as agent, broker, or principal, except as otherwise provided in this subsection (2).
(ii) "Seller" includes marketplace facilitators, whether making sales in their own right or facilitating sales on behalf of marketplace sellers.
(b)(i) "Seller" does not include:
(A) The state and its departments and institutions when making sales to the state and its departments and institutions; or
(B) A professional employer organization when a covered employee coemployed with the client under the terms of a professional employer agreement engages in activities that constitute a sale at retail that is subject to the tax imposed by this chapter. In such cases, the client, and not the professional employer organization, is deemed to be the seller and is responsible for collecting and remitting the tax imposed by this chapter.
(ii) For the purposes of this subsection (2)(b), the terms "client," "covered employee," "professional employer agreement," and "professional employer organization" have the same meanings as in RCW 82.04.540.
(3) "Buyer," "purchaser," and "consumer" include, without limiting the scope hereof, every individual, receiver, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, business trust, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise, municipal corporation, quasi municipal corporation, and also the state, its departments and institutions and all political subdivisions thereof, irrespective of the nature of the activities engaged in or functions performed, and also the United States or any instrumentality thereof.
(4) "Delivery charges" means charges by the seller of personal property or services for preparation and delivery to a location designated by the purchaser of personal property or services including, but not limited to, transportation, shipping, postage, handling, crating, and packing.
(5) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items are not billed directly to the recipients. "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material. "Direct mail" does not include multiple items of printed material delivered to a single address.
(6) The meaning attributed in chapter 82.04 RCW to the terms "tax year," "taxable year," "person," "company," "sale," "sale at wholesale," "wholesale," "business," "engaging in business," "cash discount," "successor," "consumer," "in this state," "within this state," "cannabis," "useable cannabis," and "cannabis-infused products" applies equally to the provisions of this chapter.
(7) For the purposes of the taxes imposed under this chapter and under chapter 82.12 RCW, "tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched, or that is in any other manner perceptible to the senses. Tangible personal property includes electricity, water, gas, steam, and prewritten computer software.
(8) "Extended warranty" has the same meaning as in RCW 82.04.050(7).
(9) The definitions in RCW 82.04.192 apply to this chapter.
(10) For the purposes of the taxes imposed under this chapter and chapter 82.12 RCW, whenever the terms "property" or "personal property" are used, those terms must be construed to include digital goods and products sold through the use of digital codes unless:
(a) It is clear from the context that the term "personal property" is intended only to refer to tangible personal property;
(b) It is clear from the context that the term "property" is intended only to refer to tangible personal property, real property, or both; or
(c) To construe the term "property" or "personal property" as including digital goods and products sold through the use of digital codes would yield unlikely, absurd, or strained consequences. and
(11) "Retail sale" or "sale at retail" means any sale, lease, or rental for any purpose other than for resale, sublease, or subrent.
(12) The terms "agriculture," "farming," "horticulture," "horticultural," and "horticultural product" may not be construed to include or relate to cannabis, useable cannabis, or cannabis-infused products unless the applicable term is explicitly defined to include cannabis, useable cannabis, or cannabis-infused products.
(13)(a) "Affiliated person" means a person that, with respect to another person:
(i) Has an ownership interest of more than five percent, whether direct or indirect, in the other person; or
(ii) Is related to the other person because a third person, or group of third persons who are affiliated persons with respect to each other, holds an ownership interest of more than five percent, whether direct or indirect, in the related persons.
(b) For purposes of this subsection (13):
(i) "Ownership interest" means the possession of equity in the capital, the stock, or the profits of the other person; and
(ii) An indirect ownership interest in a person is an ownership interest in an entity that has an ownership interest in the person or in an entity that has an indirect ownership interest in the person.
(14) "Marketplace" means a physical or electronic place, including, but not limited to, a store, a booth, an internet website, a catalog or a dedicated sales software application, where tangible personal property, products sold through the use of digital codes and digital products, or services are offered for sale.
(15)(a) "Marketplace facilitator" means a person that:
(i) Contracts with sellers to facilitate for consideration, regardless of whether deducted as fees from the transaction, the sale of the seller's products through a marketplace owned or operated by the person;
(ii) Engages directly or indirectly, through one or more affiliated persons, in transmitting or otherwise communicating the offer or acceptance between the buyer and seller. For purposes of this subsection, mere advertising does not constitute transmitting or otherwise communicating the offer or acceptance between the buyer and seller; and
(iii) Engages directly or indirectly, through one or more affiliated persons, in any of the following activities with respect to the seller's products:
(A) Payment processing services;
(B) Fulfillment or storage services;
(C) Listing products for sale;
(D) Setting prices;
(E) Branding sales as those of the marketplace facilitator;
(F) Taking orders; or
(G) Providing customer service or accepting or assisting with returns or exchanges.
(b)(i) "Marketplace facilitator" does not include:
(A) A person who provides internet advertising services, including listing products for sale, so long as the person does not also engage in the activity described in (a)(ii) of this subsection (15) in addition to any of the activities described in (a)(iii) of this subsection (15); or
(B) A person with respect to the provision of travel agency services or the operation of a marketplace or that portion of a marketplace that enables consumers to purchase transient lodging accommodations in a hotel or other commercial transient lodging facility.
(ii) The exclusion in this subsection (15)(b) does not apply to a marketplace or that portion of a marketplace that facilitates the:
(A) Retail sale of transient lodging accommodations in homes, apartments, cabins, or other residential dwelling units; or
(B) Sharing of motor vehicles through a peer-to-peer car sharing program, as defined in RCW 46.74A.010.
(iii) For purposes of this subsection (15)(b), the following definitions apply:
(A) "Hotel" has the same meaning as in RCW 19.48.010.
(B) "Travel agency services" means arranging or booking, for a commission, fee or other consideration, vacation or travel packages, rental car or other travel reservations or accommodations, tickets for domestic or foreign travel by air, rail, ship, bus, or other medium of transportation, or hotel or other lodging accommodations. "Travel agency services" does not mean facilitating or engaging in peer-to-peer car sharing or operating a peer-to-peer car sharing program, as those terms are defined in RCW 46.74A.010.
(16) "Marketplace seller" means a seller that makes retail sales through any marketplace operated by a marketplace facilitator, regardless of whether the seller is required to be registered with the department under RCW 82.32.030.
(17) "Remote seller" means any seller, including a marketplace facilitator, who does not have a physical presence in this state and makes retail sales to purchasers or facilitates retail sales on behalf of marketplace sellers.
[ 2026 c 250 s 8; 2022 c 16 s 144; 2021 c 225 s 3; 2019 c 8 s 105; 2014 c 140 s 11; 2010 c 106 s 210; 2009 c 535 s 303; 2007 c 6 s 1302; (2007 c 6 s 1301 expired July 1, 2008); 2006 c 301 s 2; 2005 c 514 s 110; 2004 c 153 s 406; 2003 c 168 s 101; 1985 c 38 s 3; 1985 c 2 s 2 (Initiative Measure No. 464, approved November 6, 1984); 1983 1st ex.s. c 55 s 1; 1967 ex.s. c 149 s 18; 1963 c 244 s 1; 1961 c 15 s 82.08.010. Prior: (i) 1945 c 249 s 4; 1943 c 156 s 6; 1941 c 178 s 8; 1939 c 225 s 7; 1935 c 180 s 17; Rem. Supp. 1945 s 8370-17. (ii) 1935 c 180 s 20; RRS s 8370-20.]
Notes:
Retroactive application—2026 c 250 ss 2-4, 8, 10, 12-18, and 22: See note following RCW 82.04.050.
Intent—Finding—2022 c 16: See note following RCW 69.50.101.
Retroactive application—Effective date—2021 c 225: See notes following RCW 35.87A.010.
Effective date—2019 c 8 ss 105, 301, 302, 401, and 704: "Sections 105, 301, 302, 401, and 704 of this act are necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and take effect July 1, 2019." [ 2019 c 8 s 805.]
Existing rights and liability—Retroactive application—2019 c 8: See notes following RCW 82.02.250.
Effective date—2010 c 106: See note following RCW 35.102.145.
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.
Part headings not law—Savings—Effective date—Severability—2007 c 6: See notes following RCW 82.32.020.
Findings—Intent—2007 c 6: See note following RCW 82.14.390.
Expiration date—2007 c 6 s 1301: "Section 1301 of this act expires July 1, 2008." [ 2007 c 6 s 1706.]
Effective date—Act does not affect application of Title 50 or 51 RCW—2006 c 301: See notes following RCW 82.32.710.
Effective date—2005 c 514: See note following RCW 82.04.4272.
Part headings not law—Severability—2005 c 514: See notes following RCW 82.12.808.
Retroactive effective date—Effective date—2004 c 153: See note following RCW 82.08.0293.
Effective dates—2003 c 168: "Sections 101 through 104, 201 through 216, 401 through 412, 501, 502, 601 through 604, 701 through 704, 801, 901, and 902 of this act take effect July 1, 2004. Sections 301 through 305 of this act take effect January 1, 2004." [ 2003 c 168 s 903.]
Part headings not law—2003 c 168: "Part headings used in this act are not any part of the law." [ 2003 c 168 s 901.]
Purpose—1985 c 2: "The purpose of this initiative is to reduce the amount on which sales tax is paid by excluding the trade-in value of certain property from the amount taxable." [ 1985 c 2 s 1 (Initiative Measure No. 464, approved November 6, 1984).]
Effective dates—1983 1st ex.s. c 55: "This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect July 1, 1983, except that section 12 of this act shall take effect January 1, 1984, and shall be effective for property taxes levied in 1983, and due in 1984, and thereafter." [ 1983 1st ex.s. c 55 s 13.]

catchline: Definitions.


doc_type: statute

jurisdiction: wa

title: RCW 82.08.011

text:
For purposes of this chapter, "retail car rental" means renting a rental car, as defined in RCW 46.04.465, to a consumer.
[ 1992 c 194 s 2.]
Notes:
Effective dates—1992 c 194: See note following RCW 46.04.466.

license: public-domain-government-work

rule_set: Revised Code of Washington

catchline: Retail car rental—Definition.

code: rcw

unit: section

court: Washington State Legislature


title: RCW 82.08.015

text:
For the purposes of this chapter, the terms spouse, marriage, marital, husband, wife, widow, widower, next of kin, and family shall be interpreted as applying equally to state registered domestic partnerships or individuals in state registered domestic partnerships as well as to marital relationships and married persons, and references to dissolution of marriage shall apply equally to state registered domestic partnerships that have been terminated, dissolved, or invalidated, to the extent that such interpretation does not conflict with federal law. Where necessary to implement chapter 521, Laws of 2009, gender-specific terms such as husband and wife used in any statute, rule, or other law shall be construed to be gender neutral, and applicable to individuals in state registered domestic partnerships.
[ 2009 c 521 s 189.]

catchline: Construction—Chapter applicable to state registered domestic partnerships—2009 c 521.


title: RCW 82.08.020

text:
(1) There is levied and collected a tax equal to six and five-tenths percent of the selling price on each retail sale in this state of:
(a) Tangible personal property, unless the sale is specifically excluded from the RCW 82.04.050 definition of retail sale;
(b) Digital goods, digital codes, and digital automated services, if the sale is included within the RCW 82.04.050 definition of retail sale;
(c) Services, other than digital automated services, included within the RCW 82.04.050 definition of retail sale;
(d) Extended warranties to consumers; and
(e) Anything else, the sale of which is included within the RCW 82.04.050 definition of retail sale.
(2)(a) There is levied and collected an additional tax on each retail car rental, regardless of whether the vehicle is licensed in this state, equal to:
(i) Eleven and nine-tenths percent of the selling price from January 1, 2026, through December 31, 2026; and
(ii)(A) Nine and nine-tenths percent of the selling price beginning January 1, 2027.
(B) The revenue collected under (a) of this subsection must be deposited in the multimodal transportation account created in RCW 47.66.070.
(b)(i) Beginning January 1, 2027, there is levied and collected an additional tax on peer-to-peer car sharing transactions equal to the selling price multiplied by the rate of tax imposed under (a) of this subsection. This subsection (2)(b) applies only to peer-to-peer car sharing transactions where the vehicle owner obtained the shared vehicle as a vehicle for resale using a reseller permit or an approved exemption certificate under RCW 82.04.470. The revenue collected under this subsection (2)(b) must be deposited in the multimodal transportation account created in RCW 47.66.070.
(ii)(A) Beginning January 1, 2027, a peer-to-peer car sharing program may not allow a vehicle to be placed on a digital network or software application of the peer-to-peer car sharing program for the purpose of making the vehicle available for sharing through the peer-to-peer car sharing program unless the peer-to-peer car sharing program receives an electronic certification from the shared vehicle owner as to whether the shared vehicle owner obtained the shared vehicle as a vehicle for resale using a reseller permit or an approved exemption certificate under RCW 82.04.470.
(B) The peer-to-peer car sharing program shall maintain a record of such certification for a period of no less than five years.
(iii) A peer-to-peer car sharing program may rely in good faith on the shared vehicle owner's certification as to whether the shared vehicle owner obtained the shared vehicle as a vehicle for resale using a reseller permit or an approved exemption certificate under RCW 82.04.470. If the peer-to-peer car sharing program relies in good faith on the shared vehicle owner's certification as to whether the shared vehicle owner obtained the shared vehicle as a vehicle for resale using a reseller permit or an approved exemption certificate under RCW 82.04.470, the peer-to-peer car sharing program is not liable for any tax, penalty, fee, or other sanction imposed on the shared vehicle owner.
(iv) For purposes of this section, "peer-to-peer car sharing" has the same meaning as in RCW 46.74A.010. "Peer-to-peer car sharing" does not mean:
(A) "Retail car rental" as defined in RCW 82.08.011; or
(B) "Rental car" as defined in RCW 46.04.465 or 48.115.005.
(3) There is levied and collected an additional tax of five-tenths of one percent of the selling price on each retail sale of a motor vehicle in this state, other than retail car rentals and peer-to-peer car sharing transactions taxed under subsection (2) of this section. The revenue collected under this subsection must be deposited in the multimodal transportation account created in RCW 47.66.070.
(4)(a) There is levied and collected an additional tax of five-tenths of one percent on the selling price, plus trade-in property of like kind, on each retail sale of a recreational vessel in the state. The revenue collected under this subsection must be deposited in the multimodal transportation account created in RCW 47.66.070.
(b) For purposes of this subsection, "recreational vessel" means a vessel as defined in RCW 88.02.310 that is subject to watercraft excise tax under chapter 82.49 RCW.
(5) For purposes of subsection (3) of this section, "motor vehicle" has the meaning provided in RCW 46.04.320, but does not include:
(a) Farm tractors or farm vehicles as defined in RCW 46.04.180 and 46.04.181, unless the farm tractor or farm vehicle is for use in the production of cannabis;
(b) Off-road vehicles as defined in RCW 46.04.365;
(c) Nonhighway vehicles as defined in RCW 46.09.310; and
(d) Snowmobiles as defined in RCW 46.04.546.
(6) Beginning on December 8, 2005, 0.16 percent of the taxes collected under subsection (1) of this section must be dedicated to funding comprehensive performance audits required under RCW 43.09.470. The revenue identified in this subsection must be deposited in the performance audits of government account created in RCW 43.09.475.
(7) Beginning July 1, 2027, the portion of taxes collected by the state under subsection (1) of this section equal to 0.1 percent of the selling price on each retail sale in this state must be deposited in the multimodal transportation account created in RCW 47.66.070.
(8) The taxes imposed under this chapter apply to successive retail sales of the same property.
(9) The rates provided in this section apply to taxes imposed under chapter 82.12 RCW as provided in RCW 82.12.020.
[ 2026 c 255 s 101; 2026 c 250 s 9. Prior: 2025 c 418 s 3; 2025 c 417 s 201; 2022 c 16 s 145; (2020 c 1 s 7 repealed by 2024 c 232 s 7); 2016 c 1 s 2 (Initiative Measure No. 1366, approved November 3, 2015); 2014 c 140 s 12; 2011 c 171 s 120; 2010 c 106 s 212; (2010 c 106 s 211 expired January 1, 2011); (2009 c 469 s 802 expired January 1, 2011); 2006 c 1 s 3 (Initiative Measure No. 900, approved November 8, 2005); 2003 c 361 s 301; 2000 2nd sp.s. c 4 s 1; 1998 c 321 s 36 (Referendum Bill No. 49, approved November 3, 1998); 1992 c 194 s 9; 1985 c 32 s 1; prior: 1983 2nd ex.s. c 3 s 62; 1983 2nd ex.s. c 3 s 41; 1983 c 7 s 6; 1982 1st ex.s. c 35 s 1; 1981 2nd ex.s. c 8 s 1; 1977 ex.s. c 324 s 2; 1975-'76 2nd ex.s. c 130 s 1; 1971 ex.s. c 281 s 9; 1969 ex.s. c 262 s 31; 1967 ex.s. c 149 s 19; 1965 ex.s. c 173 s 13; 1961 c 293 s 6; 1961 c 15 s 82.08.020; prior: 1959 ex.s. c 3 s 5; 1955 ex.s. c 10 s 2; 1949 c 228 s 4; 1943 c 156 s 5; 1941 c 76 s 2; 1939 c 225 s 10; 1935 c 180 s 16; Rem. Supp. 1949 s 8370-16.]
Notes:
Reviser's note: (1) The Washington state supreme court ruled in Lee v. State, 185 Wn.2d 608, 374 P.3d 157 (2016) that Initiative Measure No. 1366 (chapter 1, Laws of 2016) is in violation of the single-subject rule of Article II, section 19 of the state Constitution and is therefore void in its entirety. This section is published without the amendment contained in Initiative Measure No. 1366.
(2) This section was amended by 2026 c 250 s 9 and by 2026 c 255 s 101, each without reference to the other. Both amendments are incorporated in the publication of this section under RCW 1.12.025(2). For rule of construction, see RCW 1.12.025(1).
Effective date—2026 c 255 ss 101, 102, 201, 202, 203, 301, and 302: "Sections 101, 102, 201 through 203, 301, and 302 of this act take effect July 1, 2026." [ 2026 c 255 s 1401.]
Intent—2026 c 255: "The legislature recognizes that with the enactment of Engrossed Substitute Senate Bill No. 5801 during the 2025 legislative session, the legislature addressed the state transportation system's pressing near, mid, and long-term needs that necessitated reliance on reliable funding resources, as well as the efficient use of those resources. Because the production, maintenance, and utilization of transportation resources across the state continues to be an inherently complex, multifaceted issue, the legislature intends with this act to continue to address these resource needs by addressing certain topics from Engrossed Substitute Senate Bill No. 5801, and associated matters, that require additional legislative work." [ 2026 c 255 s 1.]
Effective date—2025 c 417 ss 104, 105, 107-110, 201-206, 301-303, 604, and 903: See note following RCW 46.17.355.
Findings—Intent—2025 c 417: See note following RCW 82.38.030.
Intent—Finding—2022 c 16: See note following RCW 69.50.101.
Contingent effective date— 2016 c 1 s 2 (Initiative Measure No. 1366): "(1) Section 2 of this act takes effect April 15, 2016, unless the contingency in subsection (2) of this section occurs.
(2) If the legislature, prior to April 15, 2016, refers to the ballot for a vote a constitutional amendment requiring two-thirds legislative approval or voter approval to raise taxes as defined by voter-approved Initiatives 960, 1053, and 1185 and section 6 of this act and majority legislative approval for fee increases as required by voter-approved Initiatives 960, 1053, and 1185 and codified in RCW 43.135.055 and further defined by subsection (a) of this section, section 2 of this act expires on April 14, 2016.
(a) [(3)] "Majority legislative approval for fee increases" means only the legislature may set a fee increase's amount and must list it in a bill so it can be subject to the ten-year cost projection and other accountability procedures required by RCW 43.135.031." [2016 c 1 s 3 (Initiative Measure No. 1366, approved November 3, 2015).]
Intent—Effective date—2011 c 171: See notes following RCW 4.24.210.
Effective date—2010 c 106 s 212: "Section 212 of this act takes effect January 1, 2011." [ 2010 c 106 s 409.]
Expiration date—2010 c 106 s 211: "Section 211 of this act expires January 1, 2011." [ 2010 c 106 s 408.]
Expiration date—2009 c 469 s 802: "Section 802 of this act expires January 1, 2011." [ 2009 c 469 s 904.]
Effective date—2009 c 469 ss 801 and 802: "Sections 801 and 802 of this act take effect August 1, 2009." [ 2009 c 469 s 903.]
Short title—Effective date—2006 c 1 (Initiative Measure No. 900): See RCW 43.09.471.
Policies and purposes—Construction—Severability—Part headings not law—2006 c 1 (Initiative Measure No. 900): See notes following RCW 43.09.470.
Effective dates—2003 c 361: "Sections 301 through 602 of this act take effect July 1, 2003, and sections 201 and 202 of this act take effect August 1, 2003." [ 2003 c 361 s 703.]
Findings—2003 c 361: See note following RCW 82.38.030.
Application—2000 2nd sp.s. c 4 s 1: "Section 1 of this act applies to taxes collected on and after December 31, 1999." [ 2000 2nd sp.s. c 4 s 34.]
Effective date—2000 2nd sp.s. c 4 ss 1-3, 20: "Sections 1 through 3 and 20 of this act are necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and take effect immediately [May 2, 2000]." [ 2000 2nd sp.s. c 4 s 35.]
Purpose—Severability—1998 c 321: See notes following RCW 82.14.045.
Contingent effective dates—1998 c 321 ss 23-42: See note following RCW 35.58.410.
Legislative intent—1992 c 194: "The legislature intends to exempt rental cars from state and local motor vehicle excise taxes, and to impose additional sales and use taxes in lieu thereof. These additional sales and use taxes are intended to provide as much revenue to the funds currently receiving motor vehicle excise tax revenue, including the transportation funds and the general fund, as each fund would have received if the motor vehicle excise tax exemptions had not been enacted. Revenues from these additional sales and use taxes are intended to be distributed in the same manner as the motor vehicle excise tax revenues they replace." [ 1992 c 194 s 4.]
Effective dates—1992 c 194: See note following RCW 46.04.466.
Construction—Severability—Effective dates—1983 2nd ex.s. c 3: See notes following RCW 82.04.255.
Construction—1983 c 7: "This act shall not be construed as affecting any existing right acquired, or liability or obligation incurred under the sections amended in this act, nor any rule, regulation, or order adopted, nor any proceeding instituted, under those sections." [ 1983 c 7 s 34.]
Severability—1983 c 7: "If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [ 1983 c 7 s 35.]
Effective dates—1983 c 7: "This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect March 1, 1983, except as follows:
(1) Sections 9 through 22, and 25 through 31 of this act shall take effect June 30, 1983.
(2) Sections 23 and 24 of this act shall take effect January 1, 1984, for taxes first due in 1984 and thereafter.
The department of revenue and the department of licensing shall immediately take necessary steps to ensure that all sections of this act are properly implemented on their effective dates. The additional taxes and tax rate changes imposed under this act shall take effect on the dates designated in this act notwithstanding the date this act becomes law under Article III, section 12 of the state Constitution." [ 1983 c 7 s 37.]
Severability—1982 1st ex.s. c 35: "If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected." [ 1982 1st ex.s. c 35 s 47.]
Effective dates—Expiration date—1982 1st ex.s. c 35: "This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately, except that sections 28, 29, and 30 of this act shall take effect on May 1, 1982, sections 33 and 34 of this act shall take effect on July 1, 1983, and sections 35 through 38 of this act shall take effect on January 1, 1983.
Sections 28 and 29 of this act shall expire on July 1, 1983. The additional taxes imposed under this act shall take effect on the dates designated in this act notwithstanding the date this act becomes law under Article III, section 12 of the state Constitution." [ 1982 1st ex.s. c 35 s 48.]
Effective date—1975-'76 2nd ex.s. c 130: "This 1976 amendatory act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately: PROVIDED, That the provisions of this 1976 amendatory act shall be null and void in the event chapter . . . (*Substitute Senate Bill No. 2778), Laws of 1975-'76 2nd ex. sess. is approved and becomes law." [1975-'76 2nd ex.s. c 130 s 4.]
*Reviser's note: "Substitute Senate Bill No. 2778" failed to become law.
High capacity transportation systems—Sales and use tax: RCW 81.104.170.
Manufacturers, study: 1994 c 66.

catchline: Tax imposed—Retail sales—Retail car rental—Recreational vessels.


title: RCW 82.08.0201

text:
Before January 1, 1994, and January 1st of each odd-numbered year thereafter:
The department of licensing, with the assistance of the department of revenue, must provide the office of financial management and the fiscal committees of the legislature with an updated estimate of the amount of revenue attributable to the taxes imposed in RCW 82.08.020(2).
[ 2020 c 139 s 10; 1992 c 194 s 10.]
Notes:
Effective dates—1992 c 194: See note following RCW 46.04.466.

catchline: Rental cars—Estimate of tax revenue.


title: RCW 82.08.0202

text:
For purposes of this chapter, a retail sale of linen and uniform supply services is deemed to occur at the place of delivery to the customer. "Linen and uniform supply services" means the activity of providing customers with a supply of clean linen, towels, uniforms, gowns, protective apparel, clean room apparel, mats, rugs, and similar items, whether ownership of the item is in the person operating the linen and uniform supply service or in the customer. The term includes supply services operating their own cleaning establishments as well as those contracting with other laundry or dry cleaning businesses.
[ 2001 c 186 s 2.]
Notes:
Finding—Purpose—2001 c 186: "The legislature finds that because of the mixed retailing nature of linen and uniform supply services, they have been incorrectly sited for tax purposes. As a result, some companies that perform some activities related to this activity outside the state of Washington have not been required to collect retail sales taxes upon linen and uniform supply services provided to Washington customers. The activity has aspects of both the rental of tangible personal property and retail services related to tangible personal property. This error in tax treatment provides an incentive for businesses to locate some of their functions out of state. In-state businesses cannot compete if their out-of-state competitors are not required to collect sales tax for services provided to the same customers.
The purpose of this act is to clarify the taxable situs and nature of linen and uniform supply services." [ 2001 c 186 s 1.]
Effective date—2001 c 186: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 2001." [ 2001 c 186 s 4.]

catchline: Retail sales of linen and uniform supply services.


title: RCW 82.08.0203

text:
The tax levied by RCW 82.08.020 does not apply to sales of trail grooming services to the state of Washington or nonprofit corporations organized under chapter 24.03A RCW. For the purposes of this section, "trail grooming" means the activity of snow compacting, snow redistribution, or snow removal on state-owned or privately owned trails.
[ 2021 c 176 s 5248; 2008 c 260 s 1.]
Notes:
Effective date—2021 c 176: See note following RCW 24.03A.005.

catchline: Exemptions—Trail grooming services.


title: RCW 82.08.0205

text:
(1) The tax levied by RCW 82.08.020 does not apply to sales of waste vegetable oil that is used by a person in the production of biodiesel for personal use.
(2) This exemption is available only if the buyer provides the seller with an exemption certificate in a form and manner prescribed by the department.
(3) For the purposes of this section, the following definitions apply:
(a) "Waste vegetable oil" means used cooking oil gathered from restaurants or commercial food processors; and
(b) "Personal use" means the person does not engage in the business of selling biodiesel at wholesale or retail.
[ 2008 c 237 s 2.]
Notes:
Effective date—2008 c 237: "This act takes effect July 1, 2008." [ 2008 c 237 s 4.]

catchline: Exemptions—Waste vegetable oil.


title: RCW 82.08.0206

text:
(1) A working families' tax credit, funded by sales and use tax imposed, is provided to eligible low-income persons for calendar years beginning on or after January 1, 2022. The credit is refundable and is calculated as provided in this section.
(2) For purposes of the credit in this section, the following definitions apply:
(a)(i) "Eligible low-income person" means an individual who:
(A) Is eligible for the credit provided in Title 26 U.S.C. Sec. 32 of the internal revenue code;
(B) Properly files a federal income tax return for the prior federal tax year, and was a Washington resident during the year for which the credit is claimed; and
(C) Has paid either retail sales tax under this chapter or use tax under chapter 82.12 RCW, or both. There is a rebuttable presumption that a person paid either retail sales tax under this chapter or use tax under chapter 82.12 RCW, or both, if they were a Washington resident during the year for which the credit is claimed.
(ii) "Eligible low-income person" also means an individual who meets the requirements provided in (a)(i)(B) of this subsection and would otherwise qualify for the credit provided in Title 26 U.S.C. Sec. 32 of the internal revenue code except that one or any combination of the following conditions apply:
(A) The individual filed a federal income tax return for the prior federal tax year using a valid individual taxpayer identification number in lieu of a social security number, and the individual's spouse, if any, and all qualifying children, if any, have a valid individual taxpayer identification number or a social security number; or
(B) The individual filed their federal income tax return for the prior federal tax year under the married filing separately status. For purposes of the refund provided in this section, the special rule for separated spouse under Title 26 U.S.C. Sec. 32(d)(2)(B) of the internal revenue code does not apply.
(b) "Income" means earned income as defined by Title 26 U.S.C. Sec. 32 of the internal revenue code.
(c) "Individual" means an individual or an individual and that individual's spouse if they file a federal joint income tax return.
(d) "Internal revenue code" means the United States internal revenue code of 1986, as amended, as of June 9, 2022, or such subsequent date as the department may provide by rule consistent with the purpose of this section.
(e) "Maximum qualifying income" means the maximum federally adjusted gross income for the prior federal tax year.
(f) "Qualifying child" means a qualifying child as defined by Title 26 U.S.C. Sec. 32 of the internal revenue code, except the child may have a valid individual taxpayer identification number in lieu of a social security number.
(g) "Washington resident" means an individual who is physically present and residing in this state for at least 183 days. "Washington resident" also includes an individual who is not physically present and residing in this state for at least 183 days but is the spouse of a Washington resident. For purposes of this subsection, "day" means a calendar day or any portion of a calendar day.
(3)(a) Except as provided in (b) and (c) of this subsection, for calendar year 2023 and thereafter, the working families' tax credit refund amount for the prior calendar year is:
(i) $300 for eligible persons with no qualifying children;
(ii) $600 for eligible persons with one qualifying child;
(iii) $900 for eligible persons with two qualifying children; or
(iv) $1,200 for eligible persons with three or more qualifying children.
(b) Except as provided in (f) of this subsection, the refund amounts provided in (a) of this subsection will be reduced, rounded to the nearest dollar, as follows:
(i) For eligible persons with no qualifying children, beginning at $2,500 of income below the federal phase-out income for the prior federal tax year, by 18 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(ii) For eligible persons with one qualifying child, beginning at $5,000 of income below the federal phase-out income for the prior federal tax year, by 12 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(iii) For eligible persons with two qualifying children, beginning at $5,000 of income below the federal phase-out income for the prior federal tax year, by 15 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(iv) For eligible persons with three or more qualifying children, beginning at $5,000 of income below the federal phase-out income for the prior federal tax year, by 18 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(c) If the refund for an eligible person as calculated in this section is greater than zero cents, but less than $50, the refund amount is $50.
(d) The refund amounts in this section shall be adjusted for inflation every year beginning January 1, 2024, based upon changes in the consumer price index that are published by November 15th of the previous year for the most recent 12-month period. The adjusted refund amounts must be rounded to the nearest $5.
(e) For purposes of this section, "consumer price index" means, for any 12-month period, the average consumer price index for that 12-month period for the Seattle, Washington area for urban wage earners and clerical workers, all items, compiled by the bureau of labor statistics, United States department of labor.
(f) The percentage rate of remittance reductions in (b) of this subsection must be adjusted every year beginning January 1, 2023, based on calculations by the department that result in the minimum credit being received at the maximum qualifying income level.
(4) The working families' tax credit shall be administered as provided in this subsection.
(a) The refund paid under this section will be paid to eligible filers who apply pursuant to this subsection.
(i) Application must be made to the department in a form and manner determined by the department. If the application process is initially done electronically, the department must provide a paper application upon request. The application must include any information and documentation as required by the department. The department may use the information provided by the individual to calculate the refund amount. Income reported on the application may be rounded to the nearest dollar.
(ii) An individual applying for the credit under this section must keep records necessary for the department to verify eligibility under this section. Any information provided by the individual is subject to audit verification by the department.
(iii) In addition to information provided on the application, the department may verify that an individual qualifies as a Washington resident through the use of automated verification tools or other reasonable means.
(iv)(A) Except as provided in (a)(iv)(B) of this subsection (4), application for a refund under this section must be made in the year following the year for which the federal tax return was filed, but in no case may any refund be provided for any period before January 1, 2022.
(B)(I) A person may apply for any refund for which they were eligible but did not claim under (a)(iv)(A) of this subsection (4) for up to three additional years. A person must complete an application to claim this refund within the three calendar years after the end of the calendar year in which the federal income tax return for that tax year was legally due for federal income tax purposes, without regard to any federal extension.
(II) If a person seeks to increase the amount of a refund that has been made under this subsection (4), the person must apply for the amended refund within the nonclaims period established under RCW 82.32.060(1).
(v) A person may not claim a credit on behalf of a deceased individual. No individual may claim a credit under this section for any year in a disallowance period under Title 26 U.S.C. Sec. 32(k)(1) of the internal revenue code or for any year for which the individual is ineligible to claim the credit in Title 26 U.S.C. Sec. 32 of the internal revenue code by reason of Title 26 U.S.C. Sec. 32(k)(2) of the internal revenue code.
(b) The department shall protect the privacy and confidentiality of personal data of refund recipients in accordance with chapter 82.32 RCW.
(c) The department shall, in conjunction with other agencies or organizations, design and implement a public information campaign to inform potentially eligible persons of the existence of, and requirements for, the credit provided in this section.
(d) The department must work with the internal revenue service of the United States to administer the credit on an automatic basis as soon as practicable.
(5) Receipt of a refund under this section may not be used in eligibility determinations for any state income support programs or in making public charge determinations.
(6) The department may adopt rules necessary to implement this section. This includes establishing a date by which applications will be accepted, with the aim of accepting applications as soon as possible.
(7) The department must review the application and determine eligibility for the working families' tax credit based on information provided by the applicant and through audit and other administrative records, including, when it deems it necessary, verification through information from the internal revenue service of the United States, other federal agencies, Washington state agencies, third-party entities, or other persons. The department may accept a signed attestation in a form and manner determined by the department from an individual to presumptively validate that an individual meets all the eligibility requirements as provided in this section. The signed attestation is subject to audit verification by the department to validate an individual's eligibility for the working families' tax credit.
(8) If, upon review of internal revenue service data or other information obtained by the department, it appears that an individual received a refund that the individual was not entitled to, or received a larger refund than the individual was entitled to, the department may assess against the individual the overpaid amount. The department may also assess such overpaid amount against the individual's spouse if the refund in question was based on both spouses filing a joint federal income tax return for the year for which the refund was claimed.
(a) Interest as provided under RCW 82.32.050 applies to assessments authorized under this subsection (8) starting six months after the date the department issued the assessment until the amount due under this subsection (8) is paid in full to the department. Except as otherwise provided in this subsection, penalties may not be assessed on amounts due under this subsection.
(b) If an amount due under this subsection is not paid in full by the date due, or the department issues a warrant for the collection of amounts due under this subsection, the department may assess the applicable penalties under RCW 82.32.090. Penalties under this subsection (8)(b) may not be made due until six months after the department's issuance of the assessment.
(c) If the department finds by clear, cogent, and convincing evidence that an individual knowingly submitted, caused to be submitted, or consented to the submission of, a fraudulent claim for refund under this section, the department must assess a penalty of 50 percent of the overpaid amount. This penalty is in addition to any other applicable penalties assessed in accordance with (b) of this subsection (8).
(9) If, within the period allowed for refunds under RCW 82.32.060, the department finds that an individual received a lesser refund than the individual was entitled to, the department must remit the additional amount due under this section to the individual.
(10) Interest does not apply to refunds provided under this section.
(11) Chapter 82.32 RCW applies to the administration of this section.
[ 2024 c 3 s 1. Prior: 2023 c 456 s 1; 2023 c 374 s 10; prior: 2022 c 41 s 1; 2022 c 33 s 1; 2021 c 195 s 2; 2008 c 325 s 2.]
Notes:
Retroactive application—2024 c 3: "This act applies both prospectively and retroactively to January 1, 2023." [ 2024 c 3 s 2.]
Automatic expiration date exemption—2023 c 456: "RCW 82.32.805 does not apply to this act." [ 2023 c 456 s 4.]
Effective date—2023 c 456: "This act takes effect January 1, 2024." [ 2023 c 456 s 5.]
Findings—Intent—2021 c 195: "(1) Many Washington families do not earn enough annually to keep pace with increasing health care, child care, housing, and other essential expenses.
(2) Amidst rising cost of living across the state, the regressive nature of Washington's tax code puts an additional strain on households already struggling to meet their basic needs. Washington's tax system is the most upside down and regressive in the nation, allowing those who earn the most to pay the least percentage of their income in taxes. As a percentage of household income, low-income Washingtonians, who are disproportionately Black, American Indian and Alaska Native, Latinx, Native Hawaiian and Pacific Islander, and multiracial Washingtonians, pay six times more in taxes than our wealthiest residents.
(3) Eligibility for the working families' tax exemption is based on eligibility for the federal earned income tax credit, a refundable tax credit for working individuals and families whose earnings are below an income threshold. Since its establishment in 1975, the earned income tax credit has increased family income, reduced child poverty, and improved health, educational, and career outcomes for children in low-income families. Taxpayers filing with an individual tax identification number and their families, however, are excluded from receiving the federal credit and its corollary benefits to health and well-being, despite paying local, state, and federal taxes.
(4) Since its establishment in 1975, the earned income tax credit has also had a positive impact on local businesses because it puts more money in the hands of low-income working people who spend the money on immediate needs, such as groceries, transportation, rent, and health care. The credit has been shown to have a multiplier effect to support local businesses, generating an estimated $1.50 to $2.00 in local economic activity for every dollar received by beneficiaries.
(5) Therefore, it is the public policy objective of the legislature to stimulate local economic activity, advance racial equity, and promote economic stability and well-being for lower-income working people, including individual tax identification number filers, by updating and simplifying the structure of the working families' tax exemption." [ 2021 c 195 s 1.]
Automatic expiration date exemption—2021 c 195: "The provisions of RCW 82.32.805 do not apply to this act." [ 2021 c 195 s 3.]
Contingent expiration date—Tax preference performance statement— 2026 c 238 s 901; 2023 c 456 s 1; 2021 c 195 s 2: "(1) This section is the tax preference performance statement for the tax preference contained in section 2, chapter 195, Laws of 2021, section 1, chapter 456, Laws of 2023, and section 901, chapter 238, Laws of 2026. This performance statement is only intended to be used for subsequent evaluation of the tax preference. It is not intended to create a private right of action by any party or be used to determine eligibility for the preferential tax treatment.
(2) The legislature categorizes this tax preference as one intended to provide tax relief for certain individuals as indicated in RCW 82.32.808(2)(e).
(3) It is the legislature's specific public policy objective to allow low-income and middle-income workers to recover some or all of the sales tax they pay to support state and local government as a way to increase their economic security and to decrease the regressivity of our state tax code. It is the legislature's intent to provide a sales and use tax credit, in the form of a remittance, to low-income and middle-income working families.
(4) The joint legislative audit and review committee shall review this preference in 2028 and every 10 years thereafter. If a review finds that the working families' tax credit does not provide meaningful financial relief to low-income and middle-income households, RCW 82.08.0206 expires at the end of the calendar year two years after the adoption of the final report containing that finding. The joint legislative audit and review committee shall provide written notice of the expiration date of RCW 82.08.0206 to the department of revenue, the chief clerk of the house of representatives, the secretary of the senate, the office of the code reviser, and others as deemed appropriate by the joint legislative audit and review committee. In its review of the program, the joint legislative audit and review committee should use at least the following metrics: Size of the benefit per household, number of household beneficiaries statewide, and demographic information of beneficiaries to include family size, income level, race and ethnicity, and geographic location.(5) In order to obtain the data necessary to perform the review in subsection (4) of this section, the joint legislative audit and review committee may refer to the remittance data prepared by the department of revenue." [ 2026 c 238 s 902; 2023 c 456 s 3; 2021 c 195 s 4.]
Findings—Intent—2008 c 325: "The legislature finds that many Washington families do not earn enough annually to keep pace with increasing health care, child care, and work-related expenses. Because the state relies so heavily on sales tax revenue, families in Washington with the lowest incomes pay proportionately four or five times as much in state taxes as the most affluent households. The legislature finds that higher-income families are able to recover some of the sales and use taxes that they pay to support state and local government through the federal income tax deduction for sales and use taxes, but that lower-income people, who are not able to itemize, receive no benefit. Therefore, it is the intent of the legislature to provide a sales and use tax exemption, in the form of a remittance, to lower-income working families in Washington, and to use the federal earned income tax credit as a proxy for the amount of sales tax paid." [ 2008 c 325 s 1.]
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RCW 82.08.0206
Credits—Working families—Eligible low-income persons—Penalties. (Effective January 1, 2029; contingent expiration date.)
(1) A working families' tax credit, funded by sales and use tax imposed, is provided to eligible low-income persons for calendar years beginning on or after January 1, 2022. The credit is refundable and is calculated as provided in this section.
(2) For purposes of the credit in this section, the following definitions apply:
(a)(i) "Eligible low-income person" means an individual who:
(A) Is eligible for the credit provided in Title 26 U.S.C. Sec. 32 of the internal revenue code;
(B) Properly files a federal income tax return for the prior federal tax year, and was a Washington resident during the year for which the credit is claimed; and
(C) Has paid either retail sales tax under this chapter or use tax under chapter 82.12 RCW, or both. There is a rebuttable presumption that a person paid either retail sales tax under this chapter or use tax under chapter 82.12 RCW, or both, if they were a Washington resident during the year for which the credit is claimed.
(ii) "Eligible low-income person" also means an individual who meets the requirements provided in (a)(i)(B) of this subsection and would otherwise qualify for the credit provided in Title 26 U.S.C. Sec. 32 of the internal revenue code except that one or any combination of the following conditions apply:
(A) The individual filed a federal income tax return for the prior federal tax year using a valid individual taxpayer identification number in lieu of a social security number, and the individual's spouse, if any, and all qualifying children, if any, have a valid individual taxpayer identification number or a social security number;
(B) The individual filed their federal income tax return for the prior federal tax year under the married filing separately status. For purposes of the refund provided in this section, the special rule for separated spouse under Title 26 U.S.C. Sec. 32(d)(2)(B) of the internal revenue code does not apply;
(C) The individual does not meet the income requirement under Title 26 U.S.C. Sec. 32(c)(1)(A)(ii)(II) of the internal revenue code, but whose income was equal to or less than the maximum qualifying income as defined in this section; or
(D) The individual does not meet the age requirement under Title 26 U.S.C. Sec. 32(c)(1)(A)(ii)(II) of the internal revenue code, but is at least age 18 by the end of the prior federal tax year.
(b) "Income" means earned income as defined by Title 26 U.S.C. Sec. 32 of the internal revenue code.
(c) "Individual" means an individual or an individual and that individual's spouse if they file a federal joint income tax return.
(d) "Internal revenue code" means the United States internal revenue code of 1986, as amended, as of June 9, 2022, or such subsequent date as the department may provide by rule consistent with the purpose of this section.
(e) "Maximum qualifying income" means the greater of:
(i) The maximum federally adjusted gross income under Title 26 U.S.C. Sec. 32 of the internal revenue code for the prior federal tax year; or
(ii) The individual's monthly need and payment standards for cash assistance, under WAC 388-478-0015, multiplied by 12. For the purposes of this subsection (2)(e)(ii), an individual's assistance unit size is determined by their household size for federal income tax purposes for the prior federal tax year, not to exceed five.
(f) "Qualifying child" means a qualifying child as defined by Title 26 U.S.C. Sec. 32 of the internal revenue code, except the child may have a valid individual taxpayer identification number in lieu of a social security number.
(g) "Washington resident" means an individual who is physically present and residing in this state for at least 183 days. "Washington resident" also includes an individual who is not physically present and residing in this state for at least 183 days but is the spouse of a Washington resident. For purposes of this subsection, "day" means a calendar day or any portion of a calendar day.
(3)(a) Except as provided in (b) and (c) of this subsection, for calendar year 2023 and thereafter, the working families' tax credit refund amount for the prior calendar year is:
(i) $300 for eligible persons with no qualifying children;
(ii) $600 for eligible persons with one qualifying child;
(iii) $900 for eligible persons with two qualifying children; or
(iv) $1,200 for eligible persons with three or more qualifying children.
(b) Except as provided in (f) of this subsection, the refund amounts provided in (a) of this subsection will be reduced, rounded to the nearest dollar, as follows:
(i) For eligible persons with no qualifying children, beginning at $2,500 of income below the maximum qualifying income for the prior federal tax year, by 18 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(ii) For eligible persons with one qualifying child, beginning at $5,000 of income below the maximum qualifying income for the prior federal tax year, by 12 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(iii) For eligible persons with two qualifying children, beginning at $5,000 of income below the maximum qualifying income for the prior federal tax year, by 15 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(iv) For eligible persons with three or more qualifying children, beginning at $5,000 of income below the maximum qualifying income for the prior federal tax year, by 18 percent per additional dollar of income until the minimum credit amount as specified in (c) of this subsection is reached.
(c) If the refund for an eligible person as calculated in this section is greater than zero cents, but less than $50, the refund amount is $50.
(d) The refund amounts in this section shall be adjusted for inflation every year beginning January 1, 2024, based upon changes in the consumer price index that are published by November 15th of the previous year for the most recent 12-month period. The adjusted refund amounts must be rounded to the nearest $5.
(e) For purposes of this section, "consumer price index" means, for any 12-month period, the average consumer price index for that 12-month period for the Seattle, Washington area for urban wage earners and clerical workers, all items, compiled by the bureau of labor statistics, United States department of labor.
(f) The percentage rate of remittance reductions in (b) of this subsection must be adjusted every year beginning January 1, 2023, based on calculations by the department that result in the minimum credit being received at the maximum qualifying income level.
(4) The working families' tax credit shall be administered as provided in this subsection.
(a) The refund paid under this section will be paid to eligible filers who apply pursuant to this subsection.
(i) Application must be made to the department in a form and manner determined by the department. If the application process is initially done electronically, the department must provide a paper application upon request. The application must include any information and documentation as required by the department. The department may use the information provided by the individual to calculate the refund amount. Income reported on the application may be rounded to the nearest dollar.
(ii) An individual applying for the credit under this section must keep records necessary for the department to verify eligibility under this section. Any information provided by the individual is subject to audit verification by the department.
(iii) In addition to information provided on the application, the department may verify that an individual qualifies as a Washington resident through the use of automated verification tools or other reasonable means.
(iv)(A) Except as provided in (a)(iv)(B) of this subsection (4), application for a refund under this section must be made in the year following the year for which the federal tax return was filed, but in no case may any refund be provided for any period before January 1, 2022.
(B)(I) A person may apply for any refund for which they were eligible but did not claim under (a)(iv)(A) of this subsection (4) for up to three additional years. A person must complete an application to claim this refund within the three calendar years after the end of the calendar year in which the federal income tax return for that tax year was legally due for federal income tax purposes, without regard to any federal extension.
(II) If a person seeks to increase the amount of a refund that has been made under this subsection (4), the person must apply for the amended refund within the nonclaims period established under RCW 82.32.060(1).
(v) A person may not claim a credit on behalf of a deceased individual. No individual may claim a credit under this section for any year in a disallowance period under Title 26 U.S.C. Sec. 32(k)(1) of the internal revenue code or for any year for which the individual is ineligible to claim the credit in Title 26 U.S.C. Sec. 32 of the internal revenue code by reason of Title 26 U.S.C. Sec. 32(k)(2) of the internal revenue code.
(b) The department shall protect the privacy and confidentiality of personal data of refund recipients in accordance with chapter 82.32 RCW.
(c) The department shall, in conjunction with other agencies or organizations, design and implement a public information campaign to inform potentially eligible persons of the existence of, and requirements for, the credit provided in this section.
(d) The department must work with the internal revenue service of the United States to administer the credit on an automatic basis as soon as practicable.
(5) Receipt of a refund under this section may not be used in eligibility determinations for any state income support programs or in making public charge determinations.
(6) The department may adopt rules necessary to implement this section. This includes establishing a date by which applications will be accepted, with the aim of accepting applications as soon as possible.
(7) The department must review the application and determine eligibility for the working families' tax credit based on information provided by the applicant and through audit and other administrative records, including, when it deems it necessary, verification through information from the internal revenue service of the United States, other federal agencies, Washington state agencies, third-party entities, or other persons. The department may accept a signed attestation in a form and manner determined by the department from an individual to presumptively validate that an individual meets all the eligibility requirements as provided in this section. The signed attestation is subject to audit verification by the department to validate an individual's eligibility for the working families' tax credit.
(8) If, upon review of internal revenue service data or other information obtained by the department, it appears that an individual received a refund that the individual was not entitled to, or received a larger refund than the individual was entitled to, the department may assess against the individual the overpaid amount. The department may also assess such overpaid amount against the individual's spouse if the refund in question was based on both spouses filing a joint federal income tax return for the year for which the refund was claimed.
(a) Interest as provided under RCW 82.32.050 applies to assessments authorized under this subsection (8) starting six months after the date the department issued the assessment until the amount due under this subsection (8) is paid in full to the department. Except as otherwise provided in this subsection, penalties may not be assessed on amounts due under this subsection.
(b) If an amount due under this subsection is not paid in full by the date due, or the department issues a warrant for the collection of amounts due under this subsection, the department may assess the applicable penalties under RCW 82.32.090. Penalties under this subsection (8)(b) may not be made due until six months after the department's issuance of the assessment.
(c) If the department finds by clear, cogent, and convincing evidence that an individual knowingly submitted, caused to be submitted, or consented to the submission of, a fraudulent claim for refund under this section, the department must assess a penalty of 50 percent of the overpaid amount. This penalty is in addition to any other applicable penalties assessed in accordance with (b) of this subsection (8).
(9) If, within the period allowed for refunds under RCW 82.32.060, the department finds that an individual received a lesser refund than the individual was entitled to, the department must remit the additional amount due under this section to the individual.
(10) Interest does not apply to refunds provided under this section.
(11) Chapter 82.32 RCW applies to the administration of this section.
[ 2026 c 238 s 901; 2024 c 3 s 1. Prior: 2023 c 456 s 1; 2023 c 374 s 10; prior: 2022 c 41 s 1; 2022 c 33 s 1; 2021 c 195 s 2; 2008 c 325 s 2.]
Notes:
Effective date—When refunds provided—2026 c 238 s 901: "(1) Section 901 of this act takes effect January 1, 2029.
(2) Refunds may not be provided under section 901 of this act for any period before January 1, 2028." [ 2026 c 238 s 1205.]
Automatic expiration date exemption—2026 c 238 s 901: "RCW 82.32.805 does not apply to section 901 of this act." [ 2026 c 238 s 1207.]
Findings—Intent—Effect of invalidation of 2026 c 238 s 201—Automatic expiration date and tax preference performance statement exemption—Necessity of act—Intent—Implementation by department of revenue—2026 c 238: See notes following RCW 82A.04.030.
Retroactive application—2024 c 3: "This act applies both prospectively and retroactively to January 1, 2023." [ 2024 c 3 s 2.]
Automatic expiration date exemption—2023 c 456: "RCW 82.32.805 does not apply to this act." [ 2023 c 456 s 4.]
Effective date—2023 c 456: "This act takes effect January 1, 2024." [ 2023 c 456 s 5.]
Findings—Intent—2021 c 195: "(1) Many Washington families do not earn enough annually to keep pace with increasing health care, child care, housing, and other essential expenses.
(2) Amidst rising cost of living across the state, the regressive nature of Washington's tax code puts an additional strain on households already struggling to meet their basic needs. Washington's tax system is the most upside down and regressive in the nation, allowing those who earn the most to pay the least percentage of their income in taxes. As a percentage of household income, low-income Washingtonians, who are disproportionately Black, American Indian and Alaska Native, Latinx, Native Hawaiian and Pacific Islander, and multiracial Washingtonians, pay six times more in taxes than our wealthiest residents.
(3) Eligibility for the working families' tax exemption is based on eligibility for the federal earned income tax credit, a refundable tax credit for working individuals and families whose earnings are below an income threshold. Since its establishment in 1975, the earned income tax credit has increased family income, reduced child poverty, and improved health, educational, and career outcomes for children in low-income families. Taxpayers filing with an individual tax identification number and their families, however, are excluded from receiving the federal credit and its corollary benefits to health and well-being, despite paying local, state, and federal taxes.
(4) Since its establishment in 1975, the earned income tax credit has also had a positive impact on local businesses because it puts more money in the hands of low-income working people who spend the money on immediate needs, such as groceries, transportation, rent, and health care. The credit has been shown to have a multiplier effect to support local businesses, generating an estimated $1.50 to $2.00 in local economic activity for every dollar received by beneficiaries.
(5) Therefore, it is the public policy objective of the legislature to stimulate local economic activity, advance racial equity, and promote economic stability and well-being for lower-income working people, including individual tax identification number filers, by updating and simplifying the structure of the working families' tax exemption." [ 2021 c 195 s 1.]
Automatic expiration date exemption—2021 c 195: "The provisions of RCW 82.32.805 do not apply to this act." [ 2021 c 195 s 3.]
Contingent expiration date—Tax preference performance statement— 2026 c 238 s 901; 2023 c 456 s 1; 2021 c 195 s 2: "(1) This section is the tax preference performance statement for the tax preference contained in section 2, chapter 195, Laws of 2021, section 1, chapter 456, Laws of 2023, and section 901, chapter 238, Laws of 2026. This performance statement is only intended to be used for subsequent evaluation of the tax preference. It is not intended to create a private right of action by any party or be used to determine eligibility for the preferential tax treatment.
(2) The legislature categorizes this tax preference as one intended to provide tax relief for certain individuals as indicated in RCW 82.32.808(2)(e).
(3) It is the legislature's specific public policy objective to allow low-income and middle-income workers to recover some or all of the sales tax they pay to support state and local government as a way to increase their economic security and to decrease the regressivity of our state tax code. It is the legislature's intent to provide a sales and use tax credit, in the form of a remittance, to low-income and middle-income working families.
(4) The joint legislative audit and review committee shall review this preference in 2028 and every 10 years thereafter. If a review finds that the working families' tax credit does not provide meaningful financial relief to low-income and middle-income households, RCW 82.08.0206 expires at the end of the calendar year two years after the adoption of the final report containing that finding. The joint legislative audit and review committee shall provide written notice of the expiration date of RCW 82.08.0206 to the department of revenue, the chief clerk of the house of representatives, the secretary of the senate, the office of the code reviser, and others as deemed appropriate by the joint legislative audit and review committee. In its review of the program, the joint legislative audit and review committee should use at least the following metrics: Size of the benefit per household, number of household beneficiaries statewide, and demographic information of beneficiaries to include family size, income level, race and ethnicity, and geographic location.
(5) In order to obtain the data necessary to perform the review in subsection (4) of this section, the joint legislative audit and review committee may refer to the remittance data prepared by the department of revenue." [ 2026 c 238 s 902; 2023 c 456 s 3; 2021 c 195 s 4.]
Findings—Intent—2008 c 325: "The legislature finds that many Washington families do not earn enough annually to keep pace with increasing health care, child care, and work-related expenses. Because the state relies so heavily on sales tax revenue, families in Washington with the lowest incomes pay proportionately four or five times as much in state taxes as the most affluent households. The legislature finds that higher-income families are able to recover some of the sales and use taxes that they pay to support state and local government through the federal income tax deduction for sales and use taxes, but that lower-income people, who are not able to itemize, receive no benefit. Therefore, it is the intent of the legislature to provide a sales and use tax exemption, in the form of a remittance, to lower-income working families in Washington, and to use the federal earned income tax credit as a proxy for the amount of sales tax paid." [ 2008 c 325 s 1.]

catchline: Credits—Working families—Eligible low-income persons—Penalties. (Effective until January 1, 2029; contingent expiration date.)


title: RCW 82.08.02061

text:
(1) The department must assess the implementation of the working families' tax credit in a report to the legislature to identify administrative or resource issues that require legislative action. The department must submit the report to the finance committee of the house of representatives and the ways and means committee of the senate within 18 months of the implementation of the program. The report must also be made available on the public website of the department.
(2) The department must submit a report to the finance committee of the house of representatives and the ways and means committee of the senate on a biennial basis. The report must include relevant data collected from administration of the working families' tax credit, including demographic data. The report must also be made available on the public website of the department. The first report under this subsection is due December 31, 2025, and every two years thereafter.
[ 2023 c 456 s 2; 2014 c 97 s 317; 2008 c 325 s 3.]
Notes:
Automatic expiration date exemption—Effective date—2023 c 456: See notes following RCW 82.08.0206.
Findings—Intent—2008 c 325: See note following RCW 82.08.0206.

catchline: Exemptions—Working families—Reports to legislature.


title: RCW 82.08.0207

text:
(1) An eligible purchaser who has paid the tax levied by RCW 82.08.020 on materials incorporated into, and labor and services rendered in respect to, adapted housing is eligible for an exemption from all or a portion of those taxes in the form of a remittance. The total amount of a remittance that an eligible purchaser may receive under this section and/or RCW 82.12.0207 is limited to two thousand five hundred dollars for each adapted housing project. The remittance under this section is for the state portion of the sales tax only.
(2)(a) An eligible purchaser claiming an exemption from tax in the form of a remittance under this section must pay the tax imposed by RCW 82.08.020 on such purchases eligible for the remittance. The eligible purchaser may then apply to the department for remittance of all or part of the tax paid under RCW 82.08.020 on such purchases, subject to the limits in subsections (1) and (3) of this section. As part of the application, the eligible purchaser must provide proof of eligibility for the remittance in the form of a copy of the grant award letter from the United States department of veterans affairs, construction contracts for adapted housing, and invoices for purchases qualifying for a remittance under this section.
(b) An eligible purchaser may not apply for more than one remittance under this section per calendar quarter.
(c) The department must on a quarterly basis remit exempted amounts to eligible purchasers whose applications were approved by the department during the previous quarter.
(3)(a) The remittance under this section is only available on a first-in-time basis. The department must keep a running total of all approved remittances under this section and/or RCW 82.12.0207 during each fiscal year. The department may not allow any remittance that would cause the total amount of remittances allowed under this section and/or RCW 82.12.0207 to exceed one hundred twenty-five thousand dollars in any fiscal year, unless additional amounts are appropriated for this specific purpose.
(b) The department must provide notification on its website monthly of the amount remaining before the statewide annual limit in this subsection is reached.
(4) The definitions in this subsection apply throughout this section unless the context clearly requires otherwise.
(a) "Adapted housing" means a construction project that has been approved by the United States department of veterans affairs as part of the specially adapted housing grant program or the special housing adaptation grant program to modify or construct a home so that it can accommodate the needs of a disabled or severely disabled veteran.
(b) "Eligible purchaser" means a disabled or severely disabled veteran who has received either a specially adapted housing grant or a special housing adaptation grant from the United States department of veterans affairs.
(c) "Special housing adaptation" has the same meaning, eligibility requirements, and restrictions as "special home adaptation grant" in 38 C.F.R. 3.809a, as of July 1, 2016.
(d) "Specially adapted housing" has the same meaning, eligibility requirements, and restrictions as in 38 C.F.R. 3.809, as of July 1, 2016.
[ 2017 c 176 s 2.]
Notes:
Reviser's note: The tax preference enacted in section 2, chapter 176, Laws of 2017 expires January 1, 2028, pursuant to the automatic expiration date in RCW 82.32.805(1)(a).
Findings—Intent—2017 c 176: "(1)(a) The legislature finds that it is important to recognize the service of veterans and to acknowledge the continued sacrifice of those veterans who have service-connected physical disabilities. The legislature further finds that many disabled veterans often need customized, accessible housing in order to be self-sufficient and to maintain a high quality of life. The legislature further finds that disabled veterans have higher poverty rates than disabled nonveterans. The legislature further finds that the federal government provides a grant to assist disabled veterans with the costs of constructing, modifying, or adapting their homes, but that thousands of these dollars end up covering the sales or use tax owed on these construction projects. The legislature further finds that this results in a shift of cost to the same population of disabled veterans whose burden the federal grant program is intended to ease.
(b) It is the legislature's intent to provide specific financial relief for disabled veterans by providing a sales and use tax exemption in the form of a remittance for the construction of adapted housing for disabled veterans who have been awarded a federal grant to modify their homes.
(2)(a) This section is the tax preference performance statement for the tax preferences contained in this act. This performance statement is only intended to be used for subsequent evaluation of the tax preferences. It is not intended to create a private right of action by any party or be used to determine eligibility for preferential tax treatment.
(b) The legislature categorizes the tax preference in section 2 of this act as one intended to provide tax relief for certain businesses or individuals, as indicated in RCW 82.32.808(2)(e).
(c) To measure the effectiveness of this act in achieving the specific public policy objective described in subsection (1) of this section, the joint legislative audit and review committee must, at minimum, evaluate the following:
(i) The number of qualifying adapted housing projects, as reported to the department of revenue through the remittance application process on an annual basis; and
(ii) The total amount of adapted housing grants awarded to veterans, as reported by the United States department of veterans affairs.
(d) In addition to the data sources described under this section, the joint legislative audit and review committee may use any other data it deems necessary in performing the evaluation under this subsection.
(e) The joint legislative audit and review committee must review the tax preferences provided in this act as part of its normal review process of tax preferences." [ 2017 c 176 s 1.]
Application—2017 c 176: "This act applies to sales or uses that occur on or after August 1, 2017." [ 2017 c 176 s 5.]


title: RCW 82.08.0208

text:
(1) The tax imposed by RCW 82.08.020 does not apply to the sale of a digital code for one or more digital products if the sale of the digital products to which the digital code relates is exempt from the tax levied by RCW 82.08.020.
(2)(a) The tax imposed by RCW 82.08.020 does not apply to a business or other organization for the purpose of making the digital good or digital automated service, including a digital good or digital automated service acquired through the use of a digital code, or service defined as a retail sale in *RCW 82.04.050(6)(b), available free of charge for the use or enjoyment of the general public. The exemption provided in this subsection (2) does not apply unless the purchaser has the legal right to broadcast, rebroadcast, transmit, retransmit, license, relicense, distribute, redistribute, or exhibit the product, in whole or in part, to the general public.
(b) For purposes of this subsection (2), "general public" means all persons and not limited or restricted to a particular class of persons, except that the general public includes:
(i) A class of persons that is defined as all persons residing or owning property within the boundaries of a state, political subdivision of a state, or a municipal corporation; and
(ii) With respect to libraries, authorized library patrons.
(3)(a) The tax imposed by RCW 82.08.020 does not apply to the sale to a business of digital goods, and services rendered in respect to digital goods, if the digital goods and services rendered in respect to digital goods are purchased solely for business purposes. The exemption provided by this subsection (3) also applies to the sale to a business of a digital code if all of the digital goods to be obtained through the use of the code will be used solely for business purposes.
(b) For purposes of this subsection (3), the following definitions apply:
(i) "Business purposes" means any purpose relevant to the business needs of the taxpayer claiming an exemption under this subsection (3). Business purposes do not include any personal, family, or household purpose. The term also does not include any activity conducted by a government entity as that term is defined in RCW 7.25.005; and
(ii) "Services rendered in respect to digital goods" means those services defined as a retail sale in *RCW 82.04.050(2)(g).
(4)(a) The tax imposed by RCW 82.08.020 does not apply to the sale of digital goods, digital codes, digital automated services, prewritten computer software, or services defined as a retail sale in *RCW 82.04.050(6)(b) to a buyer that provides the seller with an exemption certificate claiming multiple points of use. An exemption certificate claiming multiple points of use must be in a form and contain such information as required by the department.
(b) A buyer is entitled to use an exemption certificate claiming multiple points of use only if the buyer is a business or other organization and the digital goods or digital automated services purchased, or the digital goods or digital automated services to be obtained by the digital code purchased, or the prewritten computer software or services defined as a retail sale in *RCW 82.04.050(6)(b) purchased will be concurrently available for use within and outside this state. A buyer is not entitled to use an exemption certificate claiming multiple points of use for digital goods, digital codes, digital automated services, prewritten computer software, or services defined as a retail sale in *RCW 82.04.050(6)(b) purchased for personal use.
(c) A buyer claiming an exemption under this subsection (4) must report and pay the tax imposed in RCW 82.12.020 and any local use taxes imposed under the authority of chapter 82.14 RCW and RCW 81.104.170 directly to the department in accordance with RCW 82.12.0208 and 82.14.457.
(d) For purposes of this subsection (4), "concurrently available for use within and outside this state" means that employees or other agents of the buyer may use the digital goods, digital automated services, prewritten computer software, or services defined as a retail sale in *RCW 82.04.050(6)(b) simultaneously from one or more locations within this state and one or more locations outside this state. A digital code is concurrently available for use within and outside this state if employees or other agents of the buyer may use the digital goods or digital automated services to be obtained by the code simultaneously at one or more locations within this state and one or more locations outside this state.
(5)(a) Except as provided in (b) of this subsection (5), the tax imposed by RCW 82.08.020 does not apply to sales of audio or video programming by a radio or television broadcaster.
(b)(i) Except as provided in (b)(ii) of this subsection (5), the exemption provided in this subsection (5) does not apply in respect to programming that is sold on a pay-per-program basis or that allows the buyer to access a library of programs at any time for a specific charge for that service.
(ii) The exemption provided in this subsection (5) applies to the sale of programming described in (b)(i) of this subsection (5) if the seller is subject to a franchise fee in this state under the authority of Title 47 U.S.C. Sec. 542(a) on the gross revenue derived from the sale.
(c) For purposes of this subsection (5), "radio or television broadcaster" includes satellite radio providers, satellite television providers, cable television providers, and providers of subscription internet television.
(6)(a) The tax imposed by RCW 82.08.020 does not apply to the sale of advertising services when the buyer of the advertising services provides the seller with an exemption certificate claiming multiple points of use.
(b) A buyer may use an exemption certificate claiming multiple points of use only if the buyer is a business or other organization and the buyer purchased advertising services that will be concurrently available for use within and outside this state. A buyer may not use an exemption certificate claiming multiple points of use for advertising services purchased for personal use.
(c) A buyer claiming an exemption under this section must report and pay the tax imposed in RCW 82.12.020, and any local use taxes imposed under the authority of chapter 82.14 RCW and RCW 81.104.170, directly to the department in accordance with RCW 82.12.0208 and 82.14.457.
(d) For purposes of this subsection, the following definitions apply:
(i) "Advertising services" means "advertising services" that are defined as a "retail sale" or "sale at retail" in *RCW 82.04.050(3)(k);
(ii) "Concurrently available for use within and outside this state" has the same meaning as provided in RCW 82.12.0208.
(7) Sellers making tax-exempt sales under subsection (2), (3), or (6) of this section must obtain an exemption certificate from the buyer in a form and manner prescribed by the department. The seller must retain a copy of the exemption certificate for the seller's files. In lieu of an exemption certificate, a seller may capture the relevant data elements as allowed under the streamlined sales and use tax agreement.
[ 2026 c 250 s 10; 2020 c 139 s 11; 2009 c 535 s 501.]
Notes:
*Reviser's note: RCW 82.04.050 was amended by 2026 c 238 s 1001 (effective January 1, 2029), 2026 c 238 s 1101, and 2026 c 250 s 2, changing subsection lettering.
Retroactive application—2026 c 250 ss 2-4, 8, 10, 12-18, and 22: See note following RCW 82.04.050.
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.

catchline: Exemptions—Digital codes.


title: RCW 82.08.0209

text:
(1) The tax levied by RCW 82.08.020 does not apply to a grantee's receipt of a qualifying grant that is exempt from business and occupation tax under RCW 82.04.767.
(2) Nothing in this section may be construed to:
(a) Imply that the tax levied by RCW 82.08.020 applies to any circumstance not described in subsection (1) of this section; or
(b) Provide an exemption from the tax levied by RCW 82.08.020 for the grantee's use of a qualifying grant to acquire products in a transaction meeting the definition of "retail sale" in RCW 82.04.050.
(3) For purposes of this section, the following definitions apply:
(a) "Grantee" means the recipient of a qualifying grant.
(b) "Product" means the same as in RCW 82.32.023.
(c) "Qualifying grant" means the same as in RCW 82.04.767.
[ 2021 c 4 s 4.]
Notes:
Retroactive application—Automatic expiration date and tax preference performance statement exemption—Effective date—2021 c 4: See notes following RCW 82.04.767.

catchline: Exemptions—Qualifying grant.


title: RCW 82.08.0251

text:
The tax levied by RCW 82.08.020 shall not apply to casual and isolated sales of property or service, unless made by a person who is engaged in a business activity taxable under chapters 82.04 or 82.16 RCW: PROVIDED, That the exemption provided by this section shall not be construed as providing any exemption from the tax imposed by chapter 82.12 RCW.
[ 1980 c 37 s 19. Formerly RCW 82.08.030(1).]
Notes:
Intent—1980 c 37: See note following RCW 82.04.4281.

catchline: Exemptions—Casual and isolated sales.


title: RCW 82.08.0252

text:
The tax levied by RCW 82.08.020 shall not apply to sales made by persons in the course of business activities with respect to which tax liability is specifically imposed under chapter 82.16 RCW, when the gross proceeds from such sales must be included in the measure of the tax imposed under said chapter.
[ 1980 c 37 s 20. Formerly RCW 82.08.030(2).]
Notes:
Intent—1980 c 37: See note following RCW 82.04.4281.

catchline: Exemptions—Sales by persons taxable under chapter 82.16 RCW.


title: RCW 82.08.02525

text:
The tax levied by RCW 82.08.020 does not apply to the sale of public records by state and local agencies, as the terms are defined in RCW 42.56.010, that are copied or transferred electronically under a request for the record for which no fee is charged other than a statutorily set fee or a fee to reimburse the agency for its actual costs directly incident to the copying. A request for a record includes a request for a document not available to the public but available to those persons who by law are allowed access to the document, such as requests for fire reports, law enforcement reports, taxpayer information, and academic transcripts.
[ 2011 c 60 s 49; 2009 c 535 s 505; 1996 c 63 s 1.]
Notes:
Effective date—2011 c 60: See note following RCW 29B.20.030.
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.
Effective date—1996 c 63: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect April 1, 1996." [ 1996 c 63 s 3.]

catchline: Exemptions—Sale of copied public records by state and local agencies.


title: RCW 82.08.0253

text:
(1) The tax levied by RCW 82.08.020 does not apply to:
(a) The distribution and newsstand sale of printed newspapers; and
(b) The sale of newspapers transferred electronically, provided that the electronic version of a printed newspaper:
(i) Shares content with the printed newspaper; and
(ii) Is prominently identified by the same name as the printed newspaper or otherwise conspicuously indicates that it is a complement to the printed newspaper.
(2) For purposes of this section, "printed newspaper" means a publication issued regularly at stated intervals at least twice a month and printed on newsprint in tabloid or broadsheet format folded loosely together without stapling, glue, or any other binding of any kind, including any supplement of a printed newspaper.
[ 2009 c 535 s 506; 1980 c 37 s 21. Formerly RCW 82.08.030(3).]
Notes:
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.
Intent—1980 c 37: See note following RCW 82.04.4281.

catchline: Exemptions—Sale and distribution of newspapers.


title: RCW 82.08.02535

text:
The tax levied by RCW 82.08.020 does not apply to subscription sales of magazines or periodicals, including magazines and periodicals transferred electronically to the buyer, for the purposes of fund-raising by (1) educational institutions as defined in RCW 82.04.170, or (2) nonprofit organizations engaged in activities primarily for the benefit of boys and girls nineteen years and younger.
[ 2009 c 535 s 507; 1995 2nd sp.s. c 8 s 1.]
Notes:
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.
Effective date—1995 2nd sp.s. c 8: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995." [ 1995 2nd sp.s. c 8 s 2.]

catchline: Exemptions—Sales and distribution of magazines or periodicals by subscription for fund-raising.


title: RCW 82.08.02537

text:
The tax levied by RCW 82.08.020 does not apply to sales of academic transcripts by educational institutions, including academic transcripts transferred electronically.
[ 2009 c 535 s 508; 1996 c 272 s 2.]
Notes:
Intent—Construction—2009 c 535: See notes following RCW 82.04.192.
Effective date—1996 c 272: See note following RCW 82.04.399.

catchline: Exemptions—Sales of academic transcripts.


title: RCW 82.08.0254

text:
The tax levied by RCW 82.08.020 shall not apply to sales which the state is prohibited from taxing under the Constitution of this state or the Constitution or laws of the United States.
[ 1980 c 37 s 22. Formerly RCW 82.08.030(4).]
Notes:
Intent—1980 c 37: See note following RCW 82.04.4281.

catchline: Exemptions—Nontaxable sales.


title: RCW 82.08.0255

text:
(1) The tax levied by RCW 82.08.020 does not apply to sales of motor vehicle and special fuel if:
(a) The fuel is purchased for the purpose of public transportation and the purchaser is entitled to a refund or an exemption under RCW 82.38.080(1) (f) and (g) or 82.38.180(3)(b); or
(b) The fuel is purchased by a private, nonprofit transportation provider certified under chapter 81.66 RCW and the purchaser is entitled to a refund or an exemption under RCW 82.38.080(1)(d) or 82.38.180(3)(a); or
(c) The fuel is purchased by a public transportation benefit area created under chapter 36.57A RCW or a county-owned ferry or county ferry district created under chapter 36.54 RCW for use in passenger-only ferry vessels; or
(d) The fuel is purchased by the Washington state ferry system for use in a state-owned ferry after June 30, 2013; or
(e) The fuel is purchased by a county-owned ferry for use in ferry vessels after June 30, 2013; or
(f) The fuel is taxable under chapter 82.38 RCW.
(2) Any person who has paid the tax imposed by RCW 82.08.020 on the sale of special fuel delivered in this state is entitled to a credit or refund of such tax with respect to fuel subsequently established to have been actually transported and used outside this state by persons engaged in interstate commerce. The tax must be claimed as a credit or refunded through the tax reports required under RCW 82.38.150.
[ 2013 c 225 s 640; 2011 1st sp.s. c 16 s 4; 2007 c 223 s 9; 2005 c 443 s 5; 1998 c 176 s 4. Prior: 1983 1st ex.s. c 35 s 2; 1983 c 108 s 1; 1980 c 147 s 1; 1980 c 37 s 23. Formerly RCW 82.08.030(5).]
Notes:
Effective date—2013 c 225: See note following RCW 82.38.010.
Effective date—2011 1st sp.s. c 16 ss 1-15: See note following RCW 47.60.530.
Effective date—2007 c 223: See note following RCW 36.57A.220.
Finding—Intent—2005 c 443: "The legislature finds that a number of tax exemptions, deductions, credits, and other preferences have outlived their usefulness. State records show no taxpayers have claimed relief under these tax preferences in recent years. The intent of this act is to update and simplify the tax statutes by repealing these outdated tax preferences." [ 2005 c 443 s 1.]
Effective date—2005 c 443: "This act takes effect July 1, 2006." [ 2005 c 443 s 8.]
Intent—1983 1st ex.s. c 35: "It is the intent of the legislature that special fuel purchased in Washington upon which the special fuel tax has been paid, regardless of whether or not the tax is subsequently refunded or credited in whole or in part, should not be subject to the sales and use tax if the special fuel is transported and used outside the state by persons engaged in interstate commerce." [ 1983 1st ex.s. c 35 s 1.]
Intent—1980 c 37: See note following RCW 82.04.4281.
Diesel, biodiesel, and aircraft fuel sales tax exemption for farmers: RCW 82.08.865.

catchline: Exemptions—Sales of motor vehicle and special fuel—Conditions—Credit or refund of special fuel used outside this state in interstate commerce.