WSR 00-22-034

PERMANENT RULES

DEPARTMENT OF REVENUE


[ Filed October 25, 2000, 11:00 a.m. ]

Date of Adoption: October 25, 2000.

Purpose: WAC 458-20-130, rule 130 explains the taxability of sales/licenses of real estate, commissions received on such sales, and sales of natural resources in-place or severed from the real estate. This rule is no longer needed. WAC 458-20-118 explains the taxability of income derived from sales of real estate, the license to use real estate, commissions earned on real estate sales, and interest earned on installment real estate contracts. WAC 458-20-135 addresses the taxability of natural resources that are sold severed or in place.

     WAC 458-20-213, rule 213 explains that persons operating oil company bulk stations under commission agency arrangements are subject to the B&O tax at the service rate. The rule also explains that such persons billing in their own names are taxable as sellers and are making retail or wholesale sales. This rule provides limited and incomplete tax-reporting information. RCW 82.04.360 Exemptions -- Employees -- Independent contractors -- Booth renters, 458-20-105 Employees distinguished from persons engaging in business, and 458-20-159 Consignees, bailees, factors, agents and auctioneers, provide more useful information.

     WAC 458-20-237, this rule identifies some local sales/use taxes imposed by local governments, explains how to obtain a sales tax schedule from the department, and provides the addresses of the department's local district offices. The information in this rule is either incomplete (e.g. identification of the statutory local sales taxes), incorrect (e.g., many of the district office addresses), or provided in other documents published by the department (e.g., the local sales tax flier mailed with the excise tax returns).

Citation of Existing Rules Affected by this Order: Repealing WAC 458-20-130 Sales of real property, standing timber, minerals, natural resources, 458-20-213 Oil company bulk station agents, and 458-20-237 Retail sales tax collection schedules.

Statutory Authority for Adoption: RCW 82.32.300.

Adopted under preproposal statement of inquiry filed as WSR 00-17-009 on August 3, 2000.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.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 0, Amended 0, Repealed 3.

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 3. Effective Date of Rule: Thirty-one days after filing.

October 25, 2000

Russell W. Brubaker

Assistant Director

Legislation and Policy Division

© Washington State Code Reviser's Office