SENATE BILL REPORT
SHB 1370
BYHouse Committee on Ways & Means/Revenue (originally sponsored by Representatives Holland, Appelwick, Taylor, Grimm, Silver, Braddock, Fuhrman, Bristow, Nealey, Valle, Padden, Brough, McLean, Basich, Schoon, H. Sommers, Winsley, May, B. Williams, Beck, Butterfield, Ballard, Baugher, Lewis, J. Williams, Amondson, Sanders, Kremen, Betrozoff, Rasmussen, Doty, Hankins, Miller, Hine, Holm and Cooper)
Increasing the head of family exemption for personal property taxes.
House Committe on Ways & Means/Revenue
Senate Committee on Ways & Means
Senate Hearing Date(s):February 25, 1988; February 26, 1988
Majority Report: Do pass.
Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Bauer, Bluechel, Cantu, Deccio, Fleming, Gaspard, Hayner, Johnson, Lee, Moore, Newhouse, Saling, Smith, Talmadge, Vognild, Warnke, Williams, Wojahn, Zimmerman.
Senate Staff:William Bafus (786-7715)
February 28, 1988
AS REPORTED BY COMMITTEE ON WAYS & MEANS, FEBRUARY 26, 1988
BACKGROUND:
All personal property is subject to property taxation except where exempted by law. Generally, personal property that is subject to tax includes office equipment, office machinery, and other personal property used in private business.
The constitution and statutes provide a personal property tax exemption for each household of $300. RCW 84.36.110 provides that all household effects are exempt from personal property taxes. However, an individual who operates a business from a home would be subject to personal property taxation with an exemption of $300. This exemption was provided by law in 1935.
SUMMARY:
The proposed bill increases the household personal property tax exemption from $300 to $3,000. The proposed bill would implement the proposed constitutional amendment embodied in HJR 4222.
Appropriation: none
Revenue: yes
Fiscal Note: available
Effective Date:The bill takes effect January 1, 1989 provided the proposed amendment is ratified by the voters.
Senate Committee - Testified: No one