S-0114.1  _______________________________________________

                         SENATE BILL 5036

          _______________________________________________

State of Washington      57th Legislature     2001 Regular Session

By Senators Franklin, Winsley, Prentice, Patterson and Costa

Read first time 01/08/2001.  Referred to Committee on Labor, Commerce & Financial Institutions.

Providing a temporary tax exemption for clothing and footwear.

    AN ACT Relating to a temporary exemption for clothing and footwear from sales and use taxes; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 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 82.08 RCW to read as follows:

    (1) For the period August 19, 2001, through August 25, 2001, the tax levied by RCW 82.08.020 does not apply to sales of clothing and footwear for human use if the consideration given or contracted to be given for the clothing or footwear is less than seventy-five dollars per item, including any charge for alteration, but exclusive of sales and use taxes and delivery charges.

    (2) The exemption under this section includes fabric, thread, yarn, buttons, snaps, hooks, zippers, and other items used or consumed to make or repair exempt clothing if the item becomes a physical component of such clothing.

    (3) The exemption under this section does not apply to costumes or rented formal wear; items made from real or imitation pearls, precious or semiprecious stones, jewels, or metals; athletic equipment; or protective devices such as motorcycle helmets.

    (4) The department may adopt rules to implement this section.

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

    (1) For the period August 19, 2001, through August 25, 2001, the provisions of this chapter do not apply with respect to the use of clothing and footwear for human use if the consideration given or contracted to be given for the clothing or footwear is less than seventy-five dollars per item, including any charge for alteration, but exclusive of sales and use taxes and delivery charges.

    (2) The exemption under this section includes fabric, thread, yarn, buttons, snaps, hooks, zippers, and other items used or consumed to make or repair exempt clothing if the item becomes a physical component of such clothing.

    (3) The exemption under this section does not apply to costumes or rented formal wear; items made from real or imitation pearls, precious or semiprecious stones, jewels, or metals; athletic equipment; or protective devices such as motorcycle helmets.

    (4) The department may adopt rules to implement 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.

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