6346-S.E AMH STOK TAYT 587

ESSB 6346 - H AMD TO H AMD (H-3793.3/26) 2587

NOT ADOPTED 03/09/2026

On page 5, line 15 of the striking amendment, after "302 through" strike "309" and insert "310"

On page 5, line 18 of the striking amendment, after "sections" strike "310" and insert "311"

On page 8, line 19 of the striking amendment, after "302 through" strike "309" and insert "310"

On page 11, after line 15 of the striking amendment, insert the following:

"NEW SECTION. Sec. EQUITY COMPENSATION. (1) In computing a taxpayer's Washington base income, the taxpayer must not include the non-cash value of qualified equity compensation received by an individual by a qualified employer.

(2) For the purpose of this section, the following definitions apply:

(a) "Qualified equity compensation" means stock, stock options, restricted stock units, profits, interests, or similar equity-based compensation issued by a qualified employer, but excludes compensation received in cash, cash equivalents, or publicly-traded securities.

(b) "Qualified employer" means a business entity that is (i) not publicly traded; (ii) has aggregate gross assets of less than $50,000,000; (iii) is engaged in the active conduct of a trade or business; and (iv) regularly grants equity compensation to employees."

Renumber the remaining sections consecutively and correct any internal references accordingly.

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