BILL REQ. #:  H-4547.1 

Read first time 01/25/10.   Referred to Committee on Finance.

     AN ACT Relating to imposing a state tax on bottled water to fund public health services; and adding a new chapter to Title 82 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
     (1) "Bottle" means any closed container which is labeled by a manufacturer of bottled water and used to contain or convey bottled water.
     (2) "Bottled water" means all water which is sealed in bottles offered for sale for human consumption.
     (3) "Department" means the state department of revenue.
     (4) "Manufacturer" means any processor, bottler, or other person who fills or refills a bottle with bottled water and others engaged in purifying, filtrating, or any other alteration of water for the purpose of selling or reselling bottled water.
     (5) "Person" has the same meaning as provided in RCW 82.04.030.
     (6) "Purchaser" means any person who purchases in a retail sale.
     (7) "Retail sale" means any sale to a person for use or consumption, and not for resale.
     (8) "Retailer" means any person who engages in the business of the retail sale of bottled water in the state.
     (9) "Sale" or "purchase" has the same meaning as "sale" as provided in RCW 82.04.050.
     (10) "Wholesaler" means any person who engages in the business of selling or supplying bottled water to any person for resale in the state.

NEW SECTION.  Sec. 2   A tax is imposed on each wholesale sale of bottled water within the state. The rate of tax is 0.00296 dollars per ounce.

NEW SECTION.  Sec. 3   Liability for payment of the tax imposed under this chapter is to be borne by the wholesaler.

NEW SECTION.  Sec. 4   (1) The wholesaler must remit the tax and file returns in accordance with section 5 of this act.
     (2) If any retailer located in the state receives or otherwise obtains bottled water upon which the tax imposed under this chapter has not been collected by any wholesaler, then the retailer shall remit the tax directly to the department in accordance with section 5 of this act.

NEW SECTION.  Sec. 5   Chapter 82.32 RCW applies to the tax imposed in this chapter. The tax due dates, reporting periods, and return requirements applicable to chapter 82.04 RCW apply equally to the tax imposed in this chapter. The department must adopt rules to implement this chapter.

NEW SECTION.  Sec. 6   All tax proceeds collected under this chapter must be deposited in the public health services account created in RCW 43.72.902 for the purpose of funding local health jurisdictions to conduct core public health functions of statewide significance, as defined in RCW 43.70.514.

NEW SECTION.  Sec. 7   Sections 1 through 6 of this act constitute a new chapter in Title 82 RCW.