H-3609              _______________________________________________

                                          SUBSTITUTE HOUSE BILL NO. 1089

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State of Washington                              50th Legislature                              1988 Regular Session

By House Committee on Ways & Means/Revenue (originally sponsored by Representative Rust)

Read first time 1/27/88 and passed to Committee on Rules.

AN ACT Relating to the business and occupation tax on amounts received for employee benefits; amending RCW 82.04.4297; and declaring an emergency.

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

        Sec. 1.  Section 17, chapter 37, Laws of 1980 and RCW 82.04.4297 are each amended to read as follows:

          In computing tax there may be deducted from the measure of tax amounts received from the United States or any instrumentality thereof or from the state of Washington or any municipal corporation or political subdivision thereof as compensation for, or to support, health or social welfare services rendered by a health or social welfare organization or by a municipal corporation or political subdivision, except deductions are not allowed under this section for amounts that are received as compensation for services rendered as part of employee benefits provided by the person paying the amount.

NEW SECTION. Sec. 2.     This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately.