S-953                 _______________________________________________

                                                   SENATE BILL NO. 5937

                        _______________________________________________

State of Washington                               51st Legislature                              1989 Regular Session

By Senator Williams

Read first time 2/16/89 and referred to Committee on  Ways & Means.

AN ACT Relating to business and occupation taxation; and adding a new section to chapter 82.04 RCW.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 82.04 RCW to read as follows:

          (1) Notwithstanding any other provision of this chapter, the tax imposed under this chapter shall be adjusted as follows:

          (a) If the annual value of products, gross proceeds of sales, or gross income of the business minus any deductions authorized under this chapter is forty-eight thousand dollars or less, the amount of tax otherwise imposed under this chapter shall be reduced by fifty percent;

          (b) If the annual value of products, gross proceeds of sales, or gross income of the business minus any deductions authorized under this chapter is five million dollars or less but greater than forty-eight thousand dollars, the amount of tax otherwise imposed under this chapter shall be reduced by twenty percent; and

          (c) If the annual value of products, gross proceeds of sales, or gross income of the business minus any deductions authorized under this chapter is greater than five million dollars, the amount of tax otherwise imposed under this chapter shall be increased by ten percent.

          (2) The department shall adopt such rules as may be necessary to implement this section.