H-1335.1  _______________________________________________

                    SUBSTITUTE HOUSE BILL 1254

          _______________________________________________

State of Washington      57th Legislature     2001 Regular Session

By House Committee on Finance (originally sponsored by Representatives Kessler, Mastin, Reardon, Roach, Cairnes and Morris)

Read first time .  Referred to Committee on .

Exempting certain land exchanges and sales involving the federal government from real estate excise tax.

    AN ACT Relating to a real estate excise tax exemption for land exchanges and sales with the federal government; adding a new section to chapter 82.45 RCW; adding a new section to chapter 82.46 RCW; 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 82.45 RCW to read as follows:

    Exchanges and sales of real estate are exempt from tax under this chapter if the following conditions are met:

    (1) The exchange consists of a transfer of privately owned real estate for land administered by the United States secretary of agriculture or secretary of the interior, or both; and

    (2) The values of the exchanged parcels are equal, or if not equal, have been equalized in a manner provided by the act of congress authorizing the exchange; or

    (3) The sale is to an agency of the United States administered by the secretary of agriculture or secretary of interior, or to a nonprofit nature conservancy corporation or association as defined in RCW 84.34.250, and is made to protect, preserve, maintain, improve, restore, limit the future use of, or otherwise conserve the real estate for public use or enjoyment.

NEW SECTION. Sec. 2.  A new section is added to chapter 82.46 RCW to read as follows:

    The exemption in section 1 of this act is for the state real estate excise tax and does not extend to taxes imposed under this chapter.

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.

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