S-1037.1          _______________________________________________

 

                                 SENATE BILL 5390

                  _______________________________________________

 

State of Washington              52nd Legislature             1991 Regular Session

 

By Senators Owen and McCaslin.

 

Read first time January 30, 1991.  Referred to Committee on Ways & Means.Creating tax exemptions for certain personal property.


     AN ACT Relating to the renting and leasing of tangible personal property; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; and providing an effective date.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

     NEW SECTION.  Sec. 1.  A new section is added to chapter 82.08 RCW to read as follows:

     A tax levied by RCW 82.08.020 shall not apply to the renting or leasing of tangible personal property for use in making another retail sale.  Unless a seller has taken from the purchaser a certificate signed by and bearing the name and address and registration number of the purchaser to the effect that the property was purchased for the purpose of making another retail sale, or unless the nature of the transaction is clearly shown to be for the purpose of making another retail sale by the books and records of the taxpayer in such other manner as the department shall by rule provide, the burden of proving that the renting or leasing of tangible personal property was not a sale for the purpose of making another retail sale shall be upon the seller.

 

     NEW SECTION.  Sec. 2.  A new section is added to chapter 82.12 RCW to read as follows:

     The provisions of this chapter shall not apply with respect to the renting or leasing of tangible personal property for use in making another retail sale.  Unless a seller has taken from the purchaser a certificate signed by and bearing the name and address and registration number of the purchaser to the effect that the property was purchased for the purpose of making another retail sale, or unless the nature of the transaction is clearly shown to be for the purpose of making another retail sale by the books and records of the taxpayer in such other manner as the department by rule may provide, the burden of proving that the renting or leasing of tangible personal property was not a sale for the purpose of making another retail sale shall be upon the seller.

 

     NEW SECTION.  Sec. 3.      This act shall take effect August 1, 1991.