H-3641.1          _______________________________________________

                                  HOUSE BILL 2612

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State of Washington              52nd Legislature             1992 Regular Session

By Representatives Tate, Dorn, Brough, Vance, Carlson, Ferguson, Paris, Mitchell, May, Betrozoff, Casada, Chandler, D. Sommers, Wynne, P. Johnson, Nealey and Ballard

Read first time 01/22/92.  Referred to Committee on Revenue.Granting business and occupation tax credits for donations to public schools.

     AN ACT Relating to business and occupation tax; and adding a new section to chapter 82.04 RCW.

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:

     (1) There may be credited against the tax imposed by this chapter, twenty-five percent of the fair market value of donations of materials, equipment, real property, or services to a public school in the state of Washington if:  (a) The superintendent of the school district, as defined in RCW 28A.150.080, or his or her designee, accepts the donation in writing, (b) the department receives a copy of the district superintendent's written acceptance, and (c) the department approves the donation.

     (2) The credit allowed under this section is limited to the amount of tax imposed by this chapter.  Any unused excess credit in a reporting period may be carried forward to future reporting periods.

     (3) The department shall adopt rules establishing the procedure for granting the credit allowed under this section.