_______________________________________________

                                  ENGROSSED SUBSTITUTE HOUSE BILL NO. 354

                        _______________________________________________

State of Washington                              49th Legislature                              1986 Regular Session

By House Committee on Ways & Means (originally sponsored by Representatives Braddock, Barrett, Kremen, Schoon, Haugen, Smitherman, J. Williams and Isaacson)

Read first time 2/7/86 and passed to Committee on Rules.

AN ACT Relating to the taxation of tangible personal property to be delivered outside the state of Washington; adding a new section to chapter 82.04 RCW; adding a new section to chapter 82.08 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 82.04 RCW to read as follows:

          This chapter does not apply to any person in respect to gross proceeds derived from sales at wholesale or retail of tangible personal property sold for use outside the state which is, pursuant to written agreement:

          (1) Delivered outside the state by the seller or a carrier, other than the purchaser, acting in behalf of the seller; or

          (2) Delivered by the seller to a common or licensed contract carrier who transports and delivers such tangible personal property outside the state, and who is acting in behalf of the purchaser or its agent.

NEW SECTION. Sec. 2.  A new section is added to chapter 82.08 RCW to read as follows:

          The tax levied by RCW 82.08.020 does not apply to sales of tangible personal property sold for use outside the state which is, pursuant to written agreement:

          (1) Delivered outside the state by the seller or a carrier, other than the purchaser, acting in behalf of the seller; or

          (2) Delivered by the seller to a common or licensed contract carrier who transports and delivers such tangible personal property outside the state, and who is acting in behalf of the purchaser or its agent.

NEW SECTION. Sec. 3.     This act shall take effect July 1, 1986.