Title 82, EXCISE TAXES

It is the purpose of this chapter to encourage the redevelopment of underdeveloped land in targeted urban areas, thereby increasing affordable housing, employment opportunities, and helping accomplish the other planning goals of Washington cities. The legislative authorities of c…

The definitions in this section apply throughout this chapter unless the context clearly requires otherwise. (1) "Affordable homeownership housing" means housing intended for owner occupancy to low or moderate-income households whose monthly housing costs, including utilities oth…

(1) For the purpose of creating a sales and use tax deferral program under this chapter, the governing authority must adopt a resolution of intention to create a sales and use tax deferral program as generally described in the resolution. The resolution must state the time and pl…

An owner of underdeveloped property seeking a sales and use tax deferral under this chapter on an investment project must complete the following procedures: (1) The owner must apply to the city on forms adopted by the governing authority. The application must contain the followin…

The duly authorized administrative official or committee of the city may approve the application and grant a conditional certificate of program approval if it finds that: (1)(a) The investment project is set aside primarily for multifamily housing units and the applicant commits …

(1) The duly authorized administrative official or committee of the city must approve or deny an application filed under this chapter within 90 days after receipt of the application. (2) If the application is approved, the city must issue the applicant a conditional certificate o…

The governing authority may establish an application fee. This fee may not exceed an amount determined to be required to cover the cost to be incurred by the governing authority in administering the program under this chapter. The application fee must be paid at the time the appl…

(1) Within 30 days of the issuance of a certificate of occupancy for an eligible investment project, the conditional recipient must file with the city the following: (a) A description of the work that has been completed and a statement that the eligible investment project qualifi…

(1) Thirty days after the anniversary of the date of issuance of the certificate of occupancy and each year thereafter for 10 years, the conditional recipient must file with a designated authorized representative of the city an annual report indicating the following: (a) A statem…

(1) A conditional recipient must submit an application to the department before initiation of the construction of the investment project. In the case of an investment project involving multiple qualified buildings, applications must be made for, and before the initiation of const…

(1) After receiving the conditional certificate of program approval issued by the city and provided to the department by the applicant, the department must issue a sales and use tax deferral certificate for state and local sales and use taxes due under chapters 82.08, 82.12, and …

(1) If a conditional recipient voluntarily opts to discontinue compliance with the requirements of this chapter, the recipient must notify the city and department within 60 days of the change in use or intended discontinuance. (2) If, after the department has issued a sales and u…

(1) Transfer of investment project ownership does not terminate the deferral. The deferral is transferred subject to the successor meeting the eligibility requirements of this chapter. (2) The transferor of an eligible project must notify the city and the department of such trans…

(1) The legislature finds that there are counties in the state that face additional economic development challenges beyond the challenges faced by counties located in the central Puget Sound region. The legislature further finds that these regions do not experience the same degre…

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter. (1) "Applicant" means a person applying for a tax deferral under this chapter. (2) "Department" means the department of revenue. (3) "Eligible area" means a qualifying co…

(1) Application for deferral of taxes under this chapter must be made before initiation of the construction of the investment project or acquisition of equipment or machinery. The application must be made to the department in a form and manner prescribed by the department. The ap…

(1) The department must issue a sales and use tax deferral certificate for state and local sales and use taxes due under chapters 82.08, 82.12, and 82.14 RCW on each eligible investment project. (2) The department must keep a running total of all deferrals granted under this chap…

(1) The recipient of a deferral certificate under RCW 82.94.030 must begin meaningful construction on an eligible investment project within two years of receiving a deferral certificate, unless construction was delayed due to circumstances beyond the recipient's control. Lack of …

(1)(a) Each recipient of a deferral of taxes granted under this chapter must file a complete annual tax performance report with the department under RCW 82.32.534 during the period covered by the schedule under subsection (2) of this section. If the economic benefits of the defer…

The department must establish a list of qualifying counties, effective July 1, 2022. The list of qualifying counties is effective for a 24-month period and must be updated by July 1st of the year that is two calendar years after the list was established or last updated, as the ca…

The lessor or owner of a qualified building is not eligible for a deferral unless: (1) The underlying ownership of the buildings, machinery, and equipment vests exclusively in the same person; or (2)(a) The lessor by written contract agrees to pass the economic benefit of the def…

Chapter 82.32 RCW applies to the administration of this chapter. [ 2022 c 257 s 109.]

Applications, reports, and any other information received by the department under this chapter, except applications not approved by the department, are not confidential and are subject to disclosure. [ 2022 c 257 s 110.]

This act takes effect July 1, 2022. [ 2022 c 257 s 206.]

The definitions in this section apply throughout this chapter unless the context clearly requires otherwise. (1) "Battery electric storage systems" means commercially available technology that is capable of retaining electricity, storing the energy for a period of time, and deliv…

(1)(a) For taxpayers granted an exemption under RCW 84.36.680, an excise tax is imposed on the privilege of using qualified renewable energy generating systems used as an electric power source in the state. The rate of the tax is as follows: (i) $80 per month per megawatt of name…

(1) The renewable energy local benefit account is created in the state treasury. All receipts from the production excise tax in RCW 82.96.010 must be deposited in the account. Moneys in the account may be spent only after appropriation. Expenditures from the account may be used f…

All of the provisions contained in chapter 82.32 RCW not inconsistent with the provisions of this chapter have full force and application with respect to taxes imposed under the provisions of this chapter. [ 2023 c 427 s 4.] Notes: Tax preference performance statement exemption—A…

(1)(a) Beginning January 1, 2028, a state renewable energy excise tax is imposed and collected on the privilege of using a qualified renewable energy facility for an electric power source in the state. This tax applies to qualified renewable energy facilities: (i) That begin oper…

(1) The rates of the state and local renewable energy excise taxes authorized in RCW 82.96.040 and 36.29.220 on qualified renewable energy facilities are as follows: (a)(i) The state renewable energy excise tax rate is $968 per year per megawatt of nameplate capacity of alternati…

(1)(a) A qualified renewable energy facility or a battery electric storage system that commences operation or repowers after July 1, 2026, but before January 1, 2028, may opt into the taxes imposed under RCW 82.96.040 and 36.29.220 and receive a property tax exemption under RCW 8…

(1)(a) Subject to the conditions in (b) of this subsection, beginning January 1, 2031, the legislative authority of a county may impose a special local renewable energy excise tax if a qualified renewable energy facility or a battery electric storage system is located in: (i) A l…

The local investment distribution account is created in the state treasury. All receipts from the state renewable energy excise tax imposed by RCW 82.96.040 must be deposited into the account. Expenditures from the account may be used for the local investment distributions contai…

All of the provisions contained in chapter 82.32 RCW not inconsistent with this chapter have full force and application with respect to taxes imposed under this chapter. [ 2026 c 260 s 109.] Notes: Intent—2026 c 260: See note following RCW 43.63A.770. Tax preference performance s…

The department may adopt such rules in accordance with chapter 34.05 RCW, and prescribe such forms, as it deems necessary and appropriate to implement and administer this chapter. [ 2026 c 260 s 110.] Notes: Intent—2026 c 260: See note following RCW 43.63A.770. Tax preference per…

The provisions of this title insofar as they are substantially the same as statutory provisions repealed by this chapter, and relating to the same subject matter, shall be construed as restatements and continuations, and not as new enactments. [ 1961 c 15 s 82.98.010.]

Title headings, chapter headings, and section or subsection headings, as used in this title do not constitute any part of the law. [ 1961 c 15 s 82.98.020.]

If any chapter, section, subdivision of a section, paragraph, sentence, clause or word of this title for any reason shall be adjudged invalid, such judgment shall not affect, impair or invalidate the remainder of this title but shall be confined in its operation to the chapter, s…

Nothing in chapter 149, Laws of 1967 ex. sess. shall be construed to affect any existing rights acquired or any existing liabilities incurred under the sections amended or repealed herein, nor as affecting any civil or criminal proceedings instituted thereunder, nor any rule or r…

See 1961 c 15 s 82.98.040.

This act is necessary for the immediate preservation of the public peace, health and safety, the support of the state government and its existing public institutions, and shall take effect immediately. [ 1961 c 15 s 82.98.050.]