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HOUSE
BILL 2117
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Passed
Legislature - 1997 Regular Session
State of Washington 55th
Legislature 1997 Regular Session
By
Read first time 02/21/97.
Referred to Committee on Commerce & Labor.
Lowering
the rate of taxation for social card games.
AN
ACT Relating to taxation of gambling activities; and amending RCW 9.46.110.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
9.46.110 and 1994 c 301 s 2 are each amended to read as follows:
The
legislative authority of any county, city-county, city, or town, by local law
and ordinance, and in accordance with the provisions of this chapter and rules
and regulations promulgated hereunder, may provide for the taxing of any
gambling activity authorized by this chapter within its jurisdiction, the tax
receipts to go to the county, city-county, city, or town so taxing the same:
PROVIDED, That any such tax imposed by a county alone shall not apply to any
gambling activity within a city or town located therein but the tax rate
established by a county, if any, shall constitute the tax rate throughout the
unincorporated areas of such county: PROVIDED FURTHER, That (1) punch boards
and pull-tabs, chances on which shall only be sold to adults, which shall have a
fifty cent limit on a single chance thereon, shall be taxed on a basis which
shall reflect only the gross receipts from such punch boards and pull-tabs; and
(2) no punch board or pull-tab may award as a prize upon a winning number or
symbol being drawn the opportunity of taking a chance upon any other punch
board or pull-tab; and (3) all prizes for punch boards and pull-tabs must be on
display within the immediate area of the premises wherein any such punch board
or pull-tab is located and upon a winning number or symbol being drawn, such
prize must be immediately removed therefrom, or such omission shall be deemed a
fraud for the purposes of this chapter; and (4) when any person shall win over
twenty dollars in money or merchandise from any punch board or pull-tab, every
licensee hereunder shall keep a public record thereof for at least ninety days
thereafter containing such information as the commission shall deem necessary:
AND PROVIDED FURTHER, That taxation of bingo and raffles shall never be in an amount
greater than ten percent of the gross revenue received therefrom less the
amount paid for or as prizes. Taxation of amusement games shall only be in an
amount sufficient to pay the actual costs of enforcement of the provisions of
this chapter by the county, city or town law enforcement agency and in no event
shall such taxation exceed two percent of the gross revenue therefrom less the
amount paid for as prizes: PROVIDED FURTHER, That no tax shall be imposed
under the authority of this chapter on bingo or amusement games when such
activities or any combination thereof are conducted by any bona fide charitable
or nonprofit organization as defined in this chapter, which organization has no
paid operating or management personnel and has gross income from bingo or
amusement games, or a combination thereof, not exceeding five thousand dollars
per year, less the amount paid for as prizes. No tax shall be imposed on the
first ten thousand dollars of net proceeds from raffles conducted by any bona
fide charitable or nonprofit organization as defined in this chapter. Taxation
of punch boards and pull-tabs shall not exceed five percent of gross receipts,
nor shall taxation of social card games exceed ((twenty)) ten
percent of the gross revenue from such games.
Taxes imposed under this chapter become a lien upon personal and
real property used in the gambling activity in the same manner as provided for
under RCW 84.60.010. The lien shall attach on the date the tax becomes due and
shall relate back and have priority against real and personal property to the
same extent as ad valorem taxes.
