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SUBSTITUTE
SENATE BILL 5868
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Passed
Legislature - 1997 Regular Session
State of Washington 55th
Legislature 1997 Regular Session
By
Read first time 03/31/97.
Classifying
producers of aluminum master alloys as processors for hire for business and
occupation tax purposes.
AN
ACT Relating to excise taxation of producers of aluminum master alloys;
amending RCW 82.04.110; providing an effective date; and declaring an
emergency.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
82.04.110 and 1971 ex.s. c 186 s 1 are each amended to read as follows:
"Manufacturer"
means every person who, either directly or by contracting with others for the
necessary labor or mechanical services, manufactures for sale or for commercial
or industrial use from his or her own materials or ingredients any
articles, substances or commodities. When the owner of equipment or facilities
furnishes, or sells to the customer prior to manufacture, all or a portion of
the materials that become a part or whole of the manufactured article, the
department shall prescribe equitable rules for determining tax liability:
PROVIDED, That a person who produces aluminum master alloys is a processor
for hire rather than a manufacturer, regardless of the portion of the aluminum
provided by that person's customer: PROVIDED FURTHER, That a nonresident
of this state who is the owner of materials processed for it in this state by a
processor for hire shall not be deemed to be engaged in business in this state
as a manufacturer because of the performance of such processing work for it in
this state: PROVIDED FURTHER, That the owner of materials from which a nuclear
fuel assembly is made for it by a processor for hire shall not be subject to
tax under this chapter as a manufacturer of the fuel assembly.
For
the purposes of this section, "aluminum master alloy" means an alloy
registered with the Aluminum Association as a grain refiner or a hardener alloy
using the American National Standards Institute designating system H35.3.
NEW SECTION. Sec. 2. 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.
