H-1883.2  _______________________________________________

                          HOUSE BILL 1995

          _______________________________________________

State of Washington      54th Legislature     1995 Regular Session

By Representatives Mielke, Morris and Dyer

Read first time 02/21/95.  Referred to Committee on Health Care.

Providing an exemption and an offset for insurance premium and prepayment obligations for the high risk pool.

    AN ACT Relating to provision of a tax exemption and offset for premiums and prepayments for policies under the health insurance coverage access act; amending RCW 48.14.022; and declaring an emergency.

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

    Sec. 1.  RCW 48.14.022 and 1987 c 431 s 23 are each amended to read as follows:

    (1) The taxes imposed in RCW 48.14.020 and 48.14.0201 do not apply to premiums and prepayments collected or received for policies of insurance issued under RCW 48.41.010 through 48.41.210.

    (2) In computing tax due under RCW 48.14.020 and 48.14.0201, there may be deducted from taxable premiums and prepayments the amount of any assessment against the taxpayer under RCW 48.41.010 through 48.41.210.  Any portion of the deduction allowed in this section which cannot be deducted in a tax year without reducing taxable premiums below zero may be carried forward and deducted in successive years until the deduction is exhausted.

NEW SECTION. Sec. 2.  This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.

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