BILL REQ. #:  H-3680.1 

Read first time 01/12/2006.   Referred to Committee on Finance.

     AN ACT Relating to sales and use tax exemptions for police and fire equipment; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; and providing an effective date.

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 does not apply to sales of motor vehicles to: (a) General authority Washington law enforcement agencies; or (b) local governments if the vehicles are designed and constructed specifically to provide emergency services, including medical-aid vehicles, ambulances, and fire engines.
     (2) Only the first twenty-five thousand dollars of the selling price is exempt from tax under this section.
     (3) A person taking the exemption under this section must keep records necessary for the department to verify eligibility under this section. The exemption is available only when the buyer provides the seller with an exemption certificate in a form and manner prescribed by the department. The seller shall retain a copy of the certificate for the seller's files.
     (4) For the purposes of this section and section 2 of this act, the following definitions apply:
     (a) "General authority Washington law enforcement agency" has the same meaning as in RCW 10.93.020 except "general authority Washington law enforcement agency" does not include the Washington state patrol or the department of fish and wildlife.
     (b) "Local government" means any county, city, town, public hospital district, fire protection district, regional fire protection service authority, or emergency medical service district.

NEW SECTION.  Sec. 2   A new section is added to chapter 82.12 RCW to read as follows:
     (1) The provisions of this chapter shall not apply with respect to the use of motor vehicles by: (a) General authority Washington law enforcement agencies; and (b) local governments if the vehicles are constructed specifically to provide emergency services, including medical-aid vehicles, ambulances, and fire engines.
     (2) Only the first twenty-five thousand dollars of the value of the article used is exempt under this section.
     (3) The definitions in section 1 of this act apply to this section.

NEW SECTION.  Sec. 3   This act takes effect July 1, 2006.