Z-1076.1                   _______________________________________________

 

                                                     SENATE BILL 6297

                              _______________________________________________

 

State of Washington                              53rd Legislature                             1994 Regular Session

 

By Senators Moore, Prentice and Newhouse; by request of Liquor Control Board

 

Read first time 01/19/94.  Referred to Committee on Labor & Commerce.

 

Eliminating the requirement for revenue stamps on beer packages and containers.



          AN ACT Relating to eliminating the requirement for revenue stamps on beer packages and containers; and amending RCW 66.24.290 and 66.24.300.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

        Sec. 1.  RCW 66.24.290 and 1993 c 492 s 311 are each amended to read as follows:

          (1) Any brewer or beer wholesaler licensed under this title may sell and deliver beer to holders of authorized licenses direct, but to no other person, other than the board; and every such brewer or beer wholesaler shall report all sales to the board monthly, pursuant to the regulations, and shall pay to the board as an added tax for the privilege of manufacturing and selling the beer within the state a tax of two dollars and sixty cents per barrel of thirty-one gallons on sales to licensees within the state and on sales to licensees within the state of bottled and canned beer shall pay a tax computed in gallons at the rate of two dollars and sixty cents per barrel of thirty-one gallons.  Any brewer or beer wholesaler whose applicable tax payment is not postmarked by the twentieth day following the month of sale will be assessed a penalty at the rate of two percent per month or fraction thereof.  ((Each such brewer or wholesaler shall procure from the board revenue stamps representing such tax in form prescribed by the board and shall affix the same to the barrel or package in such manner and in such denomina­tions as required by the board, and shall cancel the same prior to commencing delivery from his or her place of business or warehouse of such barrels or packages.))  Beer shall be sold by brewers and wholesalers in sealed barrels or packages.  ((The revenue stamps provided under this section need not be affixed and canceled in the making of resales of barrels or packages already taxed by the affixation and cancellation of stamps as provided in this section.))

          (2) An additional tax is imposed equal to seven percent multiplied by the tax payable under subsection (1) of this section.  All revenues collected during any month from this additional tax shall be transferred to the state general fund by the twenty-fifth day of the following month.

          (3) Until July 1, 1995, an additional tax is imposed on all beer subject to tax under subsection (1) of this section.  The additional tax is equal to two dollars per barrel of thirty-one gallons.  All revenues collected during any month from this additional tax shall be deposited in the drug enforcement and education account under RCW 69.50.520 by the twenty-fifth day of the following month.

          (4)(a) An additional tax is imposed on all beer subject to tax under subsection (1) of this section.  The additional tax is equal to ninety-six cents per barrel of thirty-one gallons through June 30, 1995, two dollars and thirty-nine cents per barrel of thirty-one gallons for the period July 1, 1995, through June 30, 1997, and four dollars and seventy-eight cents per barrel of thirty-one gallons thereafter.

          (b) The additional tax imposed under this subsection does not apply to the sale of the first sixty thousand barrels of beer each year by breweries that are entitled to a reduced rate of tax under 26 U.S.C. Sec. 5051, as existing on July 1, 1993, or such subsequent date as may be provided by the board by rule consistent with the purposes of this exemption.

          (c) All revenues collected from the additional tax imposed under this subsection (4) shall be deposited in the health services account under RCW 43.72.900.

          (5) The tax imposed under this section shall not apply to "strong beer" as defined in this title.

 

        Sec. 2.  RCW 66.24.300 and 1951 c 93 s 1 are each amended to read as follows:

          (1) The board may make refunds for all ((stamp)) taxes paid on beer exported from the state for use outside the state((, and also for tax stamps destroyed prior to the consummation of any sale of beer within the state, or for unused stamps returned to the board)).

          (2) The board ((may waive the use of revenue stamps in the collection of the tax on beer.  If the tax is not collected by means of stamps, the board may)) shall require filing with the board of a bond to be approved by it, in such amount as the board may fix, securing the payment of the tax.  If any licensee fails to pay the tax when due, the board may forthwith suspend or cancel his license until all taxes are paid.

 


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