AN ACT Relating to exempting electronic tolling passes from sales and use taxes; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; creating a new section; 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:

(1) The tax levied under RCW 82.08.020 does not apply to the sale of tangible personal property that is used in a vehicle as part of an electronic toll collection system.

(2) For purposes of this section:

(a) "Electronic toll collection system" means a system operated by the department of transportation that collects tolls by crediting or debiting funds from a customer's unique prepaid tolling account.

(b) "Vehicle" has the same meaning as provided in RCW 46.04.670.

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

This chapter does not apply to the use of tangible personal property that is used in a vehicle as part of an electronic toll collection system. The definitions in section 1 of this act apply to this section.

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