The department of revenue has reissued the following excise tax advisory (ETA):

     Det. No. 00-064, 19 WTD 1013. The taxpayer in this determination was a private, for-profit transportation company that provided ride sharing services for persons with special transportation needs ("paratransit services"). It leased paratransit vehicles from a transit authority and requested a refund from PUT under RCW 82.16.047. The determination correctly found that the taxpayer could not claim an exemption from PUT because it was not a qualified paratransit provider. Further, the determination correctly required each provider to separately qualify for the exemption. However, the determination also concluded that the transit authority was not a qualified provider since it was not a public social service agency. This conclusion is in conflict with the findings in Det. No. 97-104R, 17 WTD 59 (1998) and Det. No. 00-064, 19 WTD 1013 (2000) and has caused taxpayers confusion.

     Det. No., 01-167E, 21 WTD 272. The taxpayer in this determination was a transit authority that provided paratransit services. The determination concluded that a transit authority does not qualify as public social service agency and, therefore, could not claim the PUT exemption under RCW 82.16.047.

     These conclusions are in conflict with the findings in Det. No. 97-104R, 17 WTD 59 (1998) and Det. No. 00-064, 19 WTD 1013 (2000) and have caused confusion.

     A copy of this document is available via the internet at Recent Rule and Interpretive Statements, Adoptions, and Repeals.

Alan R. Lynn

Rules Coordinator