AN ACT Relating to simplifying the taxation of amenities owned by homeowners' associations; adding a new section to chapter 82.08 RCW; adding a new section to chapter 82.12 RCW; and creating new sections.

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

(2) The legislature categorizes the tax preference created in this act as one intended to reduce structural inefficiencies in the tax structure as indicated in RCW 82.32.808(2)(d).

(3) It is the legislature's specific public policy objective to provide permanent tax relief that corrects the structural inefficiencies regarding the taxation of homeowners' association members for the use of amenities which their association owns.

NEW SECTION.  Sec. 2.  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 any portion of the charges paid by a member of a homeowners' association for access or admission to any amenity, common area, facility, or other entity operated by the association.

(2) The definitions in this subsection apply throughout this section unless the context clearly requires otherwise.

(a) "Homeowners' association" or "association" has the same meaning as provided in RCW 64.38.010.

(b) "Member" has the same meaning as provided in RCW 64.38.010.

NEW SECTION.  Sec. 3.  A new section is added to chapter 82.12 RCW to read as follows:

(1) The provisions of this section do not apply with respect to the portion of the charges paid by a member of a homeowners' association for the use of any amenity, common area, facility, or other entity owned and operated by the homeowners' association.

(2) The definitions in section 2 of this act apply to this section.

--- END ---