S-4057.1 _______________________________________________
SENATE BILL 6740
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State of Washington 54th Legislature 1996 Regular Session
By Senators Spanel and Schow
Read first time 01/30/96. Referred to Committee on Labor, Commerce & Trade.
AN ACT Relating to taxation of gambling activities; and amending RCW 9.46.110.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1. RCW 9.46.110 and 1994 c 301 s 2 are each amended to read as follows:
The legislative
authority of any county, city-county, city, or town, by local law and
ordinance, and in accordance with the provisions of this chapter and rules and
regulations promulgated hereunder, may provide for the taxing of any gambling
activity authorized by this chapter within its jurisdiction, the tax receipts
to go to the county, city-county, city, or town so taxing the same: PROVIDED,
That any such tax imposed by a county alone shall not apply to any gambling
activity within a city or town located therein but the tax rate established by
a county, if any, shall constitute the tax rate throughout the unincorporated
areas of such county: PROVIDED FURTHER, That (1) punch boards and pull-tabs,
chances on which shall only be sold to adults, which shall have a ((fifty
cent)) one dollar limit on a single chance thereon, shall be taxed
on a basis which shall reflect only the gross receipts from such punch boards
and pull-tabs; and (2) no punch board or pull-tab may award as a prize upon a
winning number or symbol being drawn the opportunity of taking a chance upon
any other punch board or pull-tab; and (3) all prizes for punch boards and
pull-tabs must be on display within the immediate area of the premises wherein
any such punch board or pull-tab is located and upon a winning number or symbol
being drawn, such prize must be immediately removed therefrom, or such omission
shall be deemed a fraud for the purposes of this chapter; and (4) when any
person shall win over twenty dollars in money or merchandise from any punch
board or pull-tab, every licensee hereunder shall keep a public record thereof
for at least ninety days thereafter containing such information as the
commission shall deem necessary: AND PROVIDED FURTHER, That taxation of bingo
and raffles shall never be in an amount greater than ten percent of the gross
revenue received therefrom less the amount paid for or as prizes. Taxation of
amusement games shall only be in an amount sufficient to pay the actual costs
of enforcement of the provisions of this chapter by the county, city or town
law enforcement agency and in no event shall such taxation exceed two percent
of the gross revenue therefrom less the amount paid for as prizes: PROVIDED
FURTHER, That no tax shall be imposed under the authority of this chapter on
bingo or amusement games when such activities or any combination thereof are
conducted by any bona fide charitable or nonprofit organization as defined in
this chapter, which organization has no paid operating or management personnel
and has gross income from bingo or amusement games, or a combination thereof,
not exceeding five thousand dollars per year, less the amount paid for as
prizes. No tax shall be imposed on the first ten thousand dollars of net
proceeds from raffles conducted by any bona fide charitable or nonprofit
organization as defined in this chapter. Taxation of punch boards and
pull-tabs shall not exceed ((five)) ten percent of gross
receipts, less the amount paid for taxes, nor shall taxation of social
card games exceed ((twenty)) ten percent of the gross revenue
from such games less the amount paid for as prizes, nor exceed ten percent
of the gross revenue retained as winnings by the licensed card room operator in
the event they participate as the banker pursuant to RCW 9.46.0281.
Taxes imposed under this chapter become a lien upon personal and real property used in the gambling activity in the same manner as provided for under RCW 84.60.010. The lien shall attach on the date the tax becomes due and shall relate back and have priority against real and personal property to the same extent as ad valorem taxes.
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