EMERGENCY RULES
Date of Adoption: September 23, 1999.
Purpose: WAC 458-20-135 explains the tax-reporting responsibilities of extractors. WAC 458-20-136 explains the tax reporting responsibilities of manufacturers and processors for hire. WAC 458-20-13601 explains the application of the retail sales and use tax exemptions provided by RCW 82.08.02565 and 82.12.02565 for certain machinery and equipment used by manufacturers and processors for hire.
Citation of Existing Rules Affected by this Order: Amending WAC 458-20-135 Extracting natural products and 458-20-136 Manufacturing, processing for hire, fabricating.
Statutory Authority for Adoption: RCW 82.32.300.
Under RCW 34.05.350 the agency for good cause finds that immediate adoption, amendment, or repeal of a rule is necessary for the preservation of the public health, safety, or general welfare, and that observing the time requirements of notice and opportunity to comment upon adoption of a permanent rule would be contrary to the public interest.
Reasons for this Finding: These rules were previously adopted on an emergency basis on May 28, 1999 (WSR 99-12-077). There have been no substantive changes to the rules being adopted with this filing. This second adoption of these same rules is necessary to the implementation of the manufacturing machinery and equipment sales and use tax exemption, as amended by chapter 211, Laws of 1999. Some of the legislative changes, which provided clarification of the exemption, were retroactive to 1995. Taxpayers have a limited time to file refund claims and will suffer financial hardships if not provided sufficient information to determine if they are eligible for refunds as well as the exemption itself. The department is engaged in the rule-making process for adopting revised Rules 135 and 136, as well as a new Rule 13601. A CR-101 public meeting was held on July 14th. Permanent rules cannot be adopted soon enough to provide taxpayers with sufficient time to claim refunds for 1995 because the statute of limitation runs out at the end of 1999. Adoption of these rule will continue to provide immediate information to taxpayers, tax practitioners, and department staff to use in determining the taxability of specific machinery and equipment.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 1, Amended 2, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 1, Amended 2, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0. Effective Date of Rule: Immediately.
September 23, 1999
Claire Hesselholt
Rules Manager
Legislation and Policy Division
Reviser's note: The material contained in this filing exceeded the page-count limitations of WAC 1-21-040 for appearance in this issue of the Register. It will appear in the 99-21 issue of the Register.