BILL REQ. #:  H-4052.1 

Read first time 01/19/2006.   Referred to Committee on Finance.

     AN ACT Relating to a sales tax exemption for vessels purchased by nonresidents; adding a new section to chapter 82.08 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:
     The tax levied by RCW 82.08.020 does not apply to sales of vessels thirty feet or longer to residents of foreign countries, and other states, for use outside of this state, even though delivery is made within this state, but only if the vessel owner purchases and displays a valid "use permit" issued by the department. A use permit may not be issued to any vessel registered in Washington state nor may one be issued for any vessel not registered to individuals in a foreign country or another state. A corporation as a registered owner of a vessel may not be issued a use permit under this section. The department is authorized to impose a fee for a "use permit." A use permit may be issued for twelve consecutive months from the date of issue. A buyer at the time of purchase must make an irrevocable election to take the exemption authorized in this section or the exemption in either RCW 82.08.0266 or 82.08.02665.

NEW SECTION.  Sec. 2   This act takes effect July 1, 2006.