S-0698.1  _______________________________________________

                         SENATE BILL 5330

          _______________________________________________

State of Washington      57th Legislature     2001 Regular Session

By Senators Constantine and Rossi

Read first time 01/19/2001.  Referred to Committee on Ways & Means.

Limiting the combined sales tax rate on lodging.

    AN ACT Relating to limiting the maximum combined sales tax rate on lodging; adding a new section to chapter 82.14 RCW; and declaring an emergency.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 82.14 RCW to read as follows:

    (1) A local sales and use tax change adopted after December 1, 2000, must provide an exemption for those sales of lodging which if the total sales tax rate imposed on sales of lodging would exceed the greater of:

    (a) Twelve percent; or

    (b) The total sales tax rate that would have applied to the sale of lodging if the sale were made on December 1, 2000.

    (2) For the purposes of this section:

    (a) "Local sales and use tax change" is defined as provided in RCW 82.14.055.

    (b) "Sale of lodging" means the sale of or charge made for the furnishing of lodging and all other services by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of any similar license to use real property.

    (c) "Total sales tax rate" means the combined rates of all state and local taxes imposed under this chapter and chapters 36.100, 67.28, 67.40, and 82.08 RCW, and any other tax authorized after the effective date of this section if the tax is in the nature of a sales tax collected from the buyer, but excluding taxes imposed under RCW 81.104.170 before December 1, 2000.

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 immediately.

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