S-3821.1  _______________________________________________

                         SENATE BILL 6287

          _______________________________________________

State of Washington      54th Legislature     1996 Regular Session

By Senators Hochstatter, Rasmussen, A. Anderson, Morton and Roach

Read first time 01/10/96.  Referred to Committee on Agriculture & Agricultural Trade & Development.

Excluding from the definition of "to manufacture" handling of hay or alfalfa for the purposes of business and occupation taxation.

    AN ACT Relating to excluding from the definition of "to manufacture" handling of hay or alfalfa for the purposes of business and occupation taxation; and amending RCW 82.04.120.

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

    Sec. 1.  RCW 82.04.120 and 1989 c 302 s 201 are each amended to read as follows:

    "To manufacture" embraces all activities of a commercial or industrial nature wherein labor or skill is applied, by hand or machinery, to materials so that as a result thereof a new, different or useful substance or article of tangible personal property is produced for sale or commercial or industrial use, and shall include the production or fabrication of special made or custom made articles.

    "To manufacture" shall not include:  Conditioning of seed for use in planting; bailing, compressing, or cubing of hay or alfalfa for sale or use as feed stock; or activities which consist of cutting, grading, or ice glazing seafood which has been cooked, frozen or canned outside this state.

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