CERTIFICATION OF ENROLLMENT

 

                  SUBSTITUTE SENATE BILL 5157

 

 

 

 

                        55th Legislature

                      1997 Regular Session

Passed by the Senate April 26, 1997

  YEAS 41   NAYS 0

 

 

 

President of the Senate

 

Passed by the House April 26, 1997

  YEAS 98   NAYS 0

             CERTIFICATE

 

I, Mike O=Connell, Secretary of the Senate of the State of Washington, do hereby certify that the attached is  SUBSTITUTE SENATE BILL 5157 as passed by the Senate and the House of Representatives on the dates hereon set forth.

 

 

 

Speaker of the

      House of Representatives

                            Secretary

 

 

Approved Place Style On Codes above, and Style Off Codes below.  

                                FILED

          

 

 

Governor of the State of Washington

                   Secretary of State

                  State of Washington


          _______________________________________________

 

                    SUBSTITUTE SENATE BILL 5157

          _______________________________________________

 

              AS RECOMMENDED BY CONFERENCE COMMITTEE

 

             Passed Legislature - 1997 Regular Session

 

State of Washington      55th Legislature     1997 Regular Session

 

By Senate Committee on Ways & Means (originally sponsored by Senators Zarelli, Stevens and Kohl)

 

Read first time 02/20/97.

Providing tax exemptions for items obtained to replace weather-damaged items.  


    AN ACT Relating to sales and use tax exemptions for victims of inclement weather that led to a declaration of a disaster area; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; providing an effective date; providing expiration dates; 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 sales of the following:

    (a) Labor and services rendered in respect to repairing buildings damaged by a disaster or constructing new buildings to replace  buildings destroyed by a disaster, if the buildings are located in a county or Indian nation declared as a federal disaster area eligible for individual assistance during the period November 1, 1995, through June 30, 1997;

    (b) Tangible personal property that becomes an ingredient or component of such buildings during the course of repair or construction;

    (c) Private automobiles, when replacing a private automobile that was damaged by a disaster occurring during the period November 1, 1995, through June 30, 1997, and the damaged automobile was registered and licensed under the laws of this state at the time of the disaster.

    (2) A person is eligible for exemption under this section if he or she has received a disaster assistance approval letter from the:

    (a) Federal emergency management agency for a housing assistance grant to repair a damaged home;

    (b) Small business administration for a loan to repair damages to a residential or commercial building; or

    (c) Farm service agency for a loan to repair damages to farm property.

    (3) A person who receives an individual or family assistance grant from the federal emergency management agency may not claim the exemption granted under this section.

    (4) A person who is denied an individual or family assistance grant may claim exemption under this section by obtaining a special disaster assistance certificate.  To obtain a special disaster assistance certificate, the person shall present the denial letter to the department by mail or in person.  The department shall issue a special disaster assistance certificate to the person if the denial letter indicates that:

    (a) Damage to real property or a private automobile occurred;

    (b) Damage was due to a disaster; 

    (c) Loss is not covered by insurance or otherwise compensated by the receipt, or expected receipt, of other forms of disaster assistance from the American red cross, federal emergency management disaster housing program, small business administration, or farm service agency; and

    (d) Denial is not due to:

(i) Failure to prove ownership of the real property;

    (ii) Finding that a private automobile was unusable, unregistered, or uninsured as required by state law at the time it was damaged; or

    (iii) Determination that the person, or another member of his or her household, has previously applied for an individual or family assistance grant for the same damage or loss.

    (5) At the time of sale, a person claiming this exemption shall:

    (a) Provide the seller with proof of eligibility by presenting either a disaster assistance approval letter or a special disaster assistance certificate;

    (b) Display to the seller a valid Washington state driver's license or other valid identification card that has a photograph of the holder; and

    (c) Complete an exemption certificate in a form and manner prescribed by the department.  The exemption certificate must contain the buyer's name, address, telephone number, and Washington state driver's license number or identification number.  The certificate should also list the items purchased, price of the items, and the date of the purchase.

    (6) The seller shall retain the exemption certificate and a copy of either the disaster assistance approval letter or the special disaster assistance certificate for a period of five years.

    (7) This section expires July 1, 1998.

 

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

    (1) The provisions of this chapter do not apply with respect to the use, by a person meeting the eligibility criteria of subsection (2) of this section, of the following:

    (a) Tangible personal property that becomes an ingredient or component of buildings during the course of repairing buildings to replace buildings destroyed by a disaster, if the buildings are located in a county or Indian nation declared as a federal disaster area eligible for individual assistance during the period November 1, 1995, through June 30, 1997;

    (b) A private automobile, if the automobile replaces a private automobile that was damaged by a disaster occurring during the period November 1, 1995, through June 30, 1997, and the automobile was registered and licensed under the laws of this state at the time of the disaster.

    (2) A person is eligible to claim an exemption under this section if:

    (a) He or she has been approved to receive one or more of the following forms of disaster assistance:

    (i) A housing assistance grant from the federal emergency management agency to repair a damaged home;

    (ii) A loan from the small business administration to repair damages to a residential or commercial building; or

    (iii) A loan from the farm service agency to repair damages to farm property; or

    (b) The person has obtained a special disaster assistance certificate from the department under the provisions of section 1(4) of this act.

    (3) This section expires July 1, 1998.

 

    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 takes effect July 1, 1997.

 


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