HB 2040-S - DIGEST

(DIGEST AS ENACTED)

Establishes liability for taxes on unlawful or delinquent insurers or taxpayers.

Provides that, in addition to the penalties set forth in RCW 48.14.060(1), interest will accrue on the amount of the unpaid tax or prepayment at the maximum legal rate of interest permitted under RCW 19.52.020 commencing sixty-one days after the tax is due until paid. This interest will not accrue on taxes imposed under RCW 48.15.120.

Provides that this act applies to any insurer or taxpayer, as defined in RCW 48.14.0201, violating or failing to comply with RCW 48.05.030(1), 48.17.060(1) or (2), 48.36A.290(1), 48.44.015(1), or 48.46.027(1).

Provides that, if an insurance contract, health care services contract, or health maintenance agreement covers risks or exposures, or enrolled participants only partially in this state, the tax payable is computed on the portion of the premium that is properly allocated to a risk or exposure located in this state, or enrolled participants residing in this state.

Provides that this act does not apply to premiums on insurance procured by a licensed surplus line broker under chapter 48.15 RCW.