CERTIFICATION OF ENROLLMENT

 

                  SUBSTITUTE SENATE BILL 5745

 

 

                   Chapter 221, Laws of 1999

 

 

                        56th Legislature

                      1999 Regular Session

 

 

BINGO AND RAFFLES--TAX REDUCTION

 

 

 

                   EFFECTIVE DATE:  1/1/2000

Passed by the Senate March 10, 1999

  YEAS 31   NAYS 14

 

 

               BRAD OWEN

President of the Senate

 

Passed by the House April 12, 1999

  YEAS 83   NAYS 11

             CERTIFICATE

 

I, Tony M. Cook, Secretary of the Senate of the State of Washington, do hereby certify that the attached is  SUBSTITUTE SENATE BILL 5745 as passed by the Senate and the House of Representatives on the dates hereon set forth.

 

 

             CLYDE BALLARD

Speaker of the

      House of Representatives

            TONY M. COOK

                            Secretary

 

 

 

              FRANK CHOPP

Speaker of the

      House of Representatives

 

 

Approved May 7, 1999 Place Style On Codes above, and Style Off Codes below.  

                                FILED          

 

 

              May 7, 1999 - 4:11 p.m.

 

 

 

              GARY LOCKE

Governor of the State of Washington

                 Secretary of State

                 State of Washington


          _______________________________________________

 

                    SUBSTITUTE SENATE BILL 5745

          _______________________________________________

 

             Passed Legislature - 1999 Regular Session

 

State of Washington      56th Legislature     1999 Regular Session

 

By Senate Committee on Commerce, Trade, Housing & Financial Institutions (originally sponsored by Senators Bauer, Honeyford, Wojahn, West and Long)

 

Read first time 03/03/1999.

Reducing the tax on bingo and raffles.  


    AN ACT Relating to reducing the tax on bingo and raffles; amending RCW 9.46.110; and providing an effective date.

 

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

 

    Sec. 1.  RCW 9.46.110 and 1997 c 394 s 4 are each amended to read as follows:

    (1) 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 adopted under this chapter, 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 activity.  Any such tax imposed by a county alone shall not apply to any gambling activity within a city or town located in the county but the tax rate established by a county, if any, shall constitute the tax rate throughout the unincorporated areas of such county.

    (2) The operation of punch boards and pull-tabs are subject to the following conditions:

    (a) Chances may only be sold to adults;

    (b) The price of a single chance may not exceed one dollar;

    (c) No punch board or pull-tab license 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;

    (d) All prizes available to be won must be described on an information flare.  All merchandise prizes must be on display within the immediate area of the premises in which any such punch board or pull-tab is located.  Upon a winning number or symbol being drawn, a merchandise prize must be immediately removed from the display and awarded to the winner.  All references to cash or merchandise prizes, with a value over twenty dollars, must be removed immediately from the information flare when won, or such omission shall be deemed a fraud for the purposes of this chapter; and

    (e) When any person wins money or merchandise from any punch board or pull-tab over an amount determined by the commission, every licensee shall keep a public record of the award for at least ninety days containing such information as the commission shall deem necessary.

    (3)(a) Taxation of bingo and raffles shall never be in an amount greater than ((ten)) five percent of the gross receipts from a bingo game or raffle less the amount awarded as cash or merchandise prizes.

    (b) 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 receipts from the amusement game less the amount awarded as prizes.

    (c) 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 receipts from bingo or amusement games, or a combination thereof, not exceeding five thousand dollars per year, less the amount awarded as cash or merchandise prizes.

    (d) No tax shall be imposed on the first ten thousand dollars of gross receipts less the amount awarded as cash or merchandise prizes from raffles conducted by any bona fide charitable or nonprofit organization as defined in this chapter.

    (e) Taxation of punch boards and pull-tabs for bona fide charitable or nonprofit organizations is based on gross receipts from the operation of the games less the amount awarded as cash or merchandise prizes, and shall not exceed a rate of ten percent.  At the option of the county, city-county, city, or town, the taxation of punch boards and pull-tabs for commercial stimulant operators may be based on gross receipts from the operation of the games, and may not exceed a rate of five percent, or may be based on gross receipts from the operation of the games less the amount awarded as cash or merchandise prizes, and may not exceed a rate of ten percent.

    (f) Taxation of social card games may not exceed twenty percent of the gross revenue from such games.

    (4) 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.

 

    NEW SECTION.  Sec. 2.  This act takes effect January 1, 2000.


    Passed the Senate March 10, 1999.

    Passed the House April 12, 1999.

Approved by the Governor May 7, 1999.

    Filed in Office of Secretary of State May 7, 1999.