S-1049.1  _______________________________________________

                         SENATE BILL 5516

          _______________________________________________

State of Washington      55th Legislature     1997 Regular Session

By Senators Horn, West and Schow

Read first time 01/29/97.  Referred to Committee on Ways & Means.

Exempting goodwill of businesses from property taxation.

    AN ACT Relating to exempting goodwill of businesses from property taxation; amending RCW 84.36.070; and creating a new section.

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

    Sec. 1.  RCW 84.36.070 and 1974 ex.s. c 118 s 1 are each amended to read as follows:

    The following intangible property shall be exempt from ad valorem taxation:  All moneys and credits including mortgages, notes, accounts, certificates of deposit, tax certificates, judgments, state, county and municipal bonds and warrants and bonds and warrants of other taxing districts, bonds of the United States and of foreign countries or political subdivisions thereof and the bonds, stocks or shares of private corporations, goodwill of businesses, private nongovernmental personal service contracts or private nongovernmental athletic or sports franchises or private nongovernmental athletic or sports agreements provided that such contracts, franchises or agreements do not pertain to the use or possession of tangible personal or real property or to any interest in tangible personal or real property.

NEW SECTION. Sec. 2.  This act applies to taxes levied for collection in 1998 and thereafter.

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