AN
ACT Relating to sales and use tax exemptions for farmworker housing; amending
RCW 82.08.02745 and 82.12.02685; and declaring an emergency.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
82.08.02745 and 1996 c 117 s 1 are each amended 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 agricultural employee 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)
The exemption provided in this section for agricultural employee housing
provided to year-round employees of the agricultural employer, only applies if
that housing is built to the current building code for single-family or
multifamily dwellings according to the state building code, chapter 19.27 RCW.
(3)
Any agricultural employee housing built under this section shall be used
according to this section for at least five consecutive years from the
date the housing is approved for ((occupation)) occupancy, or the
full amount of tax otherwise due shall be immediately due and payable together
with interest, but not penalties, from the date the housing is approved for
occupancy until the date of payment. If at any time agricultural employee
housing that is not located on agricultural land ceases to be used in the
manner specified in subsection (2) of this section, the full amount of tax
otherwise due shall be immediately due and payable with interest, but not
penalties, from the date the housing ceases to be used as agricultural employee
housing until the date of payment.
(4)
The exemption provided in this section shall not apply to housing built for the
occupancy of an employer, family members of an employer, or persons owning
stock or shares in a farm partnership or corporation business.
(5)
For purposes of this section and RCW 82.12.02685:
(a)
"Agricultural employee" or "employee" has the same meaning
as given in RCW 19.30.010;
(b)
"Agricultural employer" or "employer" has the same meaning
as given in RCW 19.30.010; and
(c)
"Agricultural employee housing" means all facilities provided by ((the))
an agricultural employer, housing authority, local government, state
or federal agency, nonprofit community or neighborhood-based organization that
is exempt from income tax under section 501(c) of the internal revenue code of
1986 (26 U.S.C. Sec. 501(c)), or for-profit provider of housing for housing
((the employer's)) agricultural employees on a year-round or seasonal
basis, including bathing, food handling, hand washing, laundry, and toilet
facilities, single-family and multifamily dwelling units and dormitories, and
includes labor camps under RCW 70.54.110. "Agricultural employee
housing" does not include housing regularly provided on a commercial basis
to the general public ((that is provided to agricultural employees on the
same terms and conditions as it is provided to the general public)). "Agricultural
employee housing" does not include housing provided by a housing authority
unless at least eighty percent of the occupants are agricultural employees
whose adjusted income is less than fifty percent of median family income,
adjusted for household size, for the county where the housing is provided.
Sec.
2. RCW
82.12.02685 and 1996 c 117 s 2 are each amended to read as follows:
(1)
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 agricultural employee housing during the course of
constructing, repairing, decorating, or improving the buildings or other
structures by any person.
(2)
The exemption provided in this section for agricultural employee housing
provided to year-round employees of the agricultural employer, only applies if
that housing is built to the current building code for single-family or
multifamily dwellings according to the state building code, chapter 19.27 RCW.
(3)
Any agricultural employee housing built under this section shall be used
according to this section for at least five consecutive years from the
date the housing is approved for ((occupation)) occupancy, or the
full amount of a tax otherwise due shall be immediately due and payable
together with interest, but not penalties, from the date the housing is
approved for occupancy until the date of payment. If at any time agricultural
employee housing that is not located on agricultural land ceases to be used in
the manner specified in subsection (2) of this section, the full amount of tax
otherwise due shall be immediately due and payable with interest, but not
penalties, from the date the housing ceases to be used as agricultural employee
housing until the date of payment.
(4)
The exemption provided in this section shall not apply to housing built for the
occupancy of an employer, family members of an employer, or persons owning
stock or shares in a farm partnership or corporation business.
(5)
The definitions in RCW 82.08.02745(5) 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 takes effect immediately.
