S-4705               _______________________________________________

                                         SUBSTITUTE SENATE BILL NO. 6440

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Senate Committee on Financial Institutions & Insurance (originally sponsored by Senators von Reichbauer, Rasmussen, Matson, Smitherman, Johnson, Stratton, West, Patrick, Sellar, Bauer, Saling, McCaslin, Metcalf, Bailey, Craswell, Moore, Owen, Williams, Sutherland, McMullen, Conner, Kreidler, Lee, Nelson, Amondson, Gaspard, Hansen, Anderson, Barr, Bluechel, Wojahn, Newhouse, Madsen and Hayner)

Read first time 1/29/90.

AN ACT Relating to the taxation of insurance agents, brokers, and solicitors; 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:

          An insurance agent, insurance broker, or insurance solicitor who (1) is an independent contractor and (2) registers with the department between March 24, 1989, and June 1, 1989, shall not be subject to back taxes, interest, or penalties under this chapter between the date business was first conducted and the date of registration with the department.  Insurance agents, insurance brokers, or insurance solicitors who have been assessed back taxes, interest, or penalties under this chapter between March 24, 1989, and June 1, 1989, shall receive a tax credit for the amount assessed and paid:  PROVIDED, That, if the agent, broker, or solicitor is not required to pay the business and occupation tax on the effective date of this act, a refund of the amount assessed and paid shall be issued.  No refund paid pursuant to this act shall be made for an amount greater than that assessed and paid for four years back taxes.