Z-1464.2          _______________________________________________

                                  HOUSE BILL 2778

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State of Washington              54th Legislature             1996 Regular Session

By Representatives Mastin, Chappell, Chandler, Honeyford, Foreman, Mulliken, Lisk, Clements, Sheldon and Thompson; by request of Department of Health and Department of Agriculture

Read first time 01/19/96.  Referred to Committee on Agriculture & Ecology.

Providing sales and use tax exemptions for farmworker housing.

     AN ACT Relating to sales and use tax exemptions for farmworker housing; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; and declaring an emergency.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 82.08 RCW to read as follows:

     (1) The tax levied by RCW 82.08.020 shall not apply to charges made for labor and services rendered by any person in respect to the constructing, repairing, decorating, or improving of new or existing buildings or other structures used as farmworker housing, or to sales of tangible personal property that becomes an ingredient or component of the buildings or other structures during the course of the constructing, repairing, decorating, or improving the buildings or other structures, but only if the buyer provides the seller with an exemption certificate in a form and manner prescribed by the department by rule.

     (2) For purposes of this section and section 2 of this act:

     (a) "Farmworker" means a person employed by a farmer to plant, maintain, or harvest an agricultural product; and

     (b) "Farmer" and "agricultural product" has the same meaning as given in RCW 82.04.213.

NEW SECTION. Sec. 2.  A new section is added to chapter 82.12 RCW to read as follows:

     The provisions of this chapter shall not apply in respect to the use of tangible personal property that becomes an ingredient or component of buildings or other structures used as farmworker housing during the course of constructing, repairing, decorating, or improving the buildings or other structures by any person.  The definitions in section 1(2) of this act apply to this section.

NEW SECTION. Sec. 3.  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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