SENATE BILL REPORT

HB 916

BYRepresentative Appelwick

Providing an excise tax on refuse collection businesses.

House Committe on Ways & Means/Revenue

Senate Committee on Ways & Means

Senate Hearing Date(s):April 1, 1987

Majority Report:     Do pass.

     Signed by Senators McDermott, Chairman; Bauer, Bluechel, Craswell, Fleming, Kreidler, Lee, McDonald, Owen, Rinehart, Talmadge, Warnke, Williams, Wojahn.

Senate Staff:Stephen Rose (786-7443)

                April 2, 1987

AS REPORTED BY COMMITTEE ON WAYS & MEANS, APRIL 1, 1987

BACKGROUND:

A refuse collection tax was imposed by the Legislature in 1985 to fund a state public works program.  In 1986, further clarification changed the rate of the refuse tax to an excise tax of 3.6 percent to be collected from refuse customers.  In the intervening changes, the business and occupation tax service rate applied to refuse businesses was not clarified.

SUMMARY:

The bill clarifies that a refuse business is subject to a business and occupation tax at the service rate of 1.5 percent.

Fiscal Note:    requested

Senate Committee - Testified:   No one