HOUSE BILL REPORT

                  HB 1625

                       As Passed House

                       March 13, 1991

Title:  An act relating to combined reporting for agricultural employers.

Brief Description:  Removing the requirement for the development of a plan for voluntary combined reporting for agricultural employers.

Sponsor(s):  Representatives McLean, Rayburn, Nealey, Kremen, Chandler, Grant, Fuhrman, Ballard, Moyer and Rasmussen.

Brief History:

  Reported by House Committee on:

Commerce & Labor, March 6, 1991, DP;

Passed House, March 13, 1991, 98-0.

HOUSE COMMITTEE ON

COMMERCE & LABOR

Majority Report: Do pass.  Signed by 11 members:  Representatives Heavey, Chair; Cole, Vice Chair; Fuhrman, Ranking Minority Member; Lisk, Assistant Ranking Minority Member; Franklin; Jones; R. King; O'Brien; Prentice; Vance; and Wilson.

Staff:  Chris Cordes (786-7117)

Background:  In 1989, the Legislature directed the Employment Security Department, the Department of Labor and Industries, the Department of Licensing, and the Department of Revenue to develop a plan for a program that would allow agricultural employers to report and pay state taxes to the agencies in one report.  This plan for voluntary combined reporting is to be implemented by January 1, 1992.

Summary of Bill:  The requirement is repealed that the Employment Security Department, the Department of Labor and Industries, the Department of Licensing, and the Department of Revenue develop and implement a plan for voluntary combined reporting of state taxes for agricultural employers.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  Agricultural employees believed that reporting state taxes on one form would be cost effective.  However, after several years of planning, employers no longer support the plan.  The employers believe that the changes needed in the law to make the coverage between the agencies similar are not acceptable and would therefore prefer not to initiate the combined reporting plan.

Testimony Against:  None.

Witnesses:  Representative Alex McLean, prime sponsor; Graeme Sackrison, Employment Security Department; and Doug Connell, Department of Labor and Industries.