BILL REQ. #: H-1789.1
| State of Washington | 61st Legislature | 2009 Regular Session |
Read first time 02/18/09. Referred to Committee on Finance.
AN ACT Relating to sales and use tax exemption of the nonhighway use of propane by farmers; adding new sections to chapter 82.08 RCW; adding new sections to chapter 82.12 RCW; providing an effective date; providing a contingent effective date; providing contingent expiration dates; 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) The tax levied by RCW 82.08.020 does not apply to fifty percent
of the selling price of propane fuel sold to a farm fuel user for
nonhighway use. Fuel used for space or water heating for human
habitation is not exempt under this section.
(2) The exemption under this section is in the form of a refund.
Sellers shall collect tax on sales subject to this exemption. The
buyer must apply for a refund directly from the department in a form
and manner prescribed by the department. A buyer must apply for a
refund within three months of the purchase of the propane fuel.
(3) "Farm fuel user" has the same meaning as provided in RCW
82.08.865.
NEW SECTION. Sec. 2 A new section is added to chapter 82.12 RCW
to read as follows:
(1) The provisions of this chapter do not apply with respect to
fifty percent of the value of propane fuel for nonhighway use by a farm
fuel user. Fuel used for space or water heating for human habitation
is not exempt under this section.
(2) Sellers obligated to collect use tax must collect tax on sales
subject to the exemption under this section. The buyer must apply for
a refund directly from the department in a form and manner prescribed
by the department. A buyer must apply for a refund within three months
of the use of the propane fuel.
(3) "Farm fuel user" has the same meaning as provided in RCW
82.08.865.
NEW SECTION. Sec. 3 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
propane fuel to a farm fuel user for nonhighway use. Fuel used for
space or water heating for human habitation is not exempt under this
section.
(2) "Farm fuel user" has the same meaning as provided in RCW
82.08.865.
NEW SECTION. Sec. 4 A new section is added to chapter 82.12 RCW
to read as follows:
(1) The provisions of this chapter do not apply with respect to the
nonhighway use of propane fuel by a farm fuel user. Fuel used for
space or water heating for human habitation is not exempt under this
section.
(2) "Farm fuel user" has the same meaning as provided in RCW
82.08.865.
NEW SECTION. Sec. 5 Sections 1 and 2 of this act are necessary
for the immediate preservation of the public peace, health, or safety,
or support of the state government and its existing public
institutions, and take effect July 1, 2009.
NEW SECTION. Sec. 6 Sections 3 and 4 of this act take effect on
January 1, 2012, if sections 1 and 2 of this act expire under section
7(2) of this act.
NEW SECTION. Sec. 7 (1) This act expires January 1, 2012, if the
total amount of refunds granted under sections 1 and 2 of this act as
of July 1, 2011, for the prior three fiscal years, is greater than the
total estimated amount of refunds reflected in the final fiscal note
from the office of financial management for this act for the prior
three fiscal years.
(2) Sections 1 and 2 of this act expire January 1, 2012, if the
total amount of refunds granted under sections 1 and 2 of this act as
of July 1, 2011, for the prior three fiscal years, is less than the
total estimated amount of refunds reflected in the final fiscal note
for this act from the office of financial management for the prior
three fiscal years.
(3) The department of revenue must make a determination under this
section by November 1, 2011, and submit its determination to the
appropriate fiscal committees of the legislature and the office of the
code reviser by December 1, 2011.