PREPROPOSAL STATEMENT OF INQUIRY
Subject of Possible Rule Making: WAC 458-20-153 Funeral directors and 458-20-154 Cemeteries, crematories, columbaria.
Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 82.32.300 and 82.01.060(2).
Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: The department is considering an amendment to WAC 458-20-153 and 458-20-154 to update the tax-reporting information. Anticipated updates include the following:
WAC 458-20-153 Funeral directors:
| • | The rule currently describes funeral directors as commonly quoting a lump sum price for a standard funeral service, which includes the furnishing of a casket, professional services, care of remains, funeral coach, floral car and the securing of permits. This information needs to be updated because this is no longer industry practice; |
| • | Additional clarification and detail regarding the application of business and occupation (B&O), retail sales, and use taxes to the business activities of funeral establishments for the sale of services, caskets, and other merchandise; and |
| • | The tax reporting responsibilities of funeral establishments relative to income associated with prearrangement funeral service contracts. |
| • | Additional clarification and detail regarding the application of business and occupation (B&O), retail sales, and use taxes to the business activities of cemeteries, crematories, and columbaria; |
| • | The tax reporting responsibilities of cemeteries relative to income associated with prearrangement contracts (commonly referred to as "preneed" or "prepaid" arrangements) for the sale of interment rights, merchandise, and services; and |
| • | The tax reporting responsibilities of cemeteries relative to amounts placed into and subsequently received from endowment care funds for cemetery care and maintenance. |
Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: None.
Process for Developing New Rule: Parties interested in this rule making may contact the individual listed below. The public may also participate by providing written comments throughout this rule making or giving oral testimony at the public meeting or public hearing.
Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication. Written comments may be submitted by mail, fax, or at the public meeting. Oral comments will be accepted at the public meeting. A preliminary draft of possible rule changes is available for viewing and printing on our web site at http://dor.wa.gov/content/FindALawOrRule/RuleMaking/agenda.aspx. Written comments on and/or requests for copies of the rule may be directed to Armikka R. Bryant, Interpretations and Technical Advice Division, P.O. Box 47453, Olympia, WA 98504-7453, e-mail armikkab@dor.wa.gov, phone (360) 570-6130, fax (360) 586-0127.
Public Meeting Location: Capital Plaza Building, 4th Floor L&P Conference Room, 1025 Union Avenue S.E., Olympia, WA, on April 21, 2009, at 10:30 a.m.
Assistance for Persons with Disabilities: Contact Martha Thomas no later than ten days before the meeting date, TTY 1-800-451-7985 or (360) 725-7497.
March 16, 2009
Alan R. Lynn
Rules Coordinator