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SUBSTITUTE
HOUSE BILL 1219
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Passed
Legislature - 1997 Regular Session
State of Washington 55th
Legislature 1997 Regular Session
By
Read first time 03/10/97.
Extending
a tax exemption for prepayments for health care services provided under Title
XVIII (medicare) of the social security act.
AN
ACT Relating to a tax exemption for prepayments for health care services
provided under Title XVIII (medicare) of the federal social security act;
amending RCW 48.14.0201; providing an effective date; and declaring an
emergency.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
48.14.0201 and 1993 sp.s. c 25 s 601 are each amended to read as follows:
(1)
As used in this section, "taxpayer" means a health maintenance
organization, as defined in RCW 48.46.020, or a health care service
contractor, as defined in RCW 48.44.010((, or a certified health plan
certified under RCW 48.43.030)).
(2)
Each taxpayer shall pay a tax on or before the first day of March of each year
to the state treasurer through the insurance commissioner's office. The tax
shall be equal to the total amount of all premiums and prepayments for health
care services received by the taxpayer during the preceding calendar year
multiplied by the rate of two percent.
(3)
Taxpayers shall prepay their tax obligations under this section. The minimum
amount of the prepayments shall be percentages of the taxpayer's tax obligation
for the preceding calendar year recomputed using the rate in effect for the
current year. For the prepayment of taxes due during the first calendar year,
the minimum amount of the prepayments shall be percentages of the taxpayer's
tax obligation that would have been due had the tax been in effect during the
previous calendar year. The tax prepayments shall be paid to the state
treasurer through the commissioner's office by the due dates and in the
following amounts:
(a)
On or before June 15, forty-five percent;
(b)
On or before September 15, twenty-five percent;
(c)
On or before December 15, twenty-five percent.
(4)
For good cause demonstrated in writing, the commissioner may approve an amount
smaller than the preceding calendar year's tax obligation as recomputed for
calculating the health maintenance organization's, health care service
contractor's, or certified health plan's prepayment obligations for the current
tax year.
(5)
Moneys collected under this section shall be deposited in the general fund
through March 31, 1996, and in the health services account under RCW 43.72.900
after March 31, 1996.
(6)
The taxes imposed in this section do not apply to:
(a)
Amounts received by any taxpayer from the United States or any instrumentality
thereof as prepayments for health care services provided under Title XVIII
(medicare) of the federal social security act. ((This exemption shall
expire July 1, 1997.))
(b)
Amounts received by any health care service contractor, as defined in RCW
48.44.010, as prepayments for health care services included within the
definition of practice of dentistry under RCW 18.32.020. ((This exemption
does not apply to amounts received under a certified health plan certified
under RCW 48.43.030.))
NEW SECTION. Sec. 2. This
act is necessary for the immediate preservation of the public peace, health, or
safety, or support of the state government and its existing public institutions,
and takes effect July 1, 1997.
