reglab/statecodes huggingface dataset:
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.080 - Charitable donation deduction.

RCW 82.87.080
Charitable donation deduction.
(1) In computing tax under this chapter for a taxable year, a taxpayer may deduct from his or her Washington capital gains the amount donated by the taxpayer to one or more qualified organizations during the same taxable year in excess of the minimum qualifying charitable donation amount. For the purposes of this section, the minimum qualifying charitable donation amount equals $250,000. The minimum qualifying charitable donation amount under this subsection (1) shall be adjusted pursuant to RCW 82.87.150.
(2) The deduction authorized under subsection (1) of this section may not exceed $100,000 for the taxable year. The maximum amount of the available deduction under this subsection (2) shall be adjusted pursuant to RCW 82.87.150.
(3) The deduction authorized under subsection (1) of this section may not be carried forward or backward to another tax reporting period.
(4) For the purposes of this section, the following definitions apply:
(a) "Nonprofit organization" means an organization exempt from tax under Title 26 U.S.C. Sec. 501(c)(3) of the internal revenue code.
(b) "Qualified organization" means a nonprofit organization, or any other organization, that is:
(i) Eligible to receive a charitable deduction as defined in Title 26 U.S.C. Sec. 170(c) of the internal revenue code; and
(ii) Principally directed or managed within the state of Washington.
[ 2021 c 196 § 9.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.090 - Other taxes.

RCW 82.87.090
Other taxes.
The tax imposed under this chapter is in addition to any other taxes imposed by the state or any of its political subdivisions, or a municipal corporation, with respect to the same sale or exchange, including the taxes imposed in, or under the authority of, chapter 82.04, 82.08, 82.12, 82.14, 82.45, or 82.46 RCW.
[ 2021 c 196 § 10.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.100 - Allocation of long-term capital gains and losses—Credit.

RCW 82.87.100
Allocation of long-term capital gains and losses—Credit.
(1) For purposes of the tax imposed under this chapter, long-term capital gains and losses are allocated to Washington as follows:
(a) Long-term capital gains or losses from the sale or exchange of tangible personal property are allocated to this state if the property was located in this state at the time of the sale or exchange. Long-term capital gains or losses from the sale or exchange of tangible personal property are also allocated to this state even though the property was not located in this state at the time of the sale or exchange if:
(i) The property was located in the state at any time during the taxable year in which the sale or exchange occurred or the immediately preceding taxable year;
(ii) The taxpayer was a resident at the time the sale or exchange occurred; and
(iii) The taxpayer is not subject to the payment of an income or excise tax legally imposed on the long-term capital gains or losses by another taxing jurisdiction.
(b) Long-term capital gains or losses derived from intangible personal property are allocated to this state if the taxpayer was domiciled in this state at the time the sale or exchange occurred.
(2)(a) A credit is allowed against the tax imposed in RCW 82.87.040 equal to the amount of any legally imposed income or excise tax paid by the taxpayer to another taxing jurisdiction on capital gains derived from capital assets within the other taxing jurisdiction to the extent such capital gains are included in the taxpayer's Washington capital gains. The amount of credit under this subsection may not exceed the total amount of tax due under this chapter, and there is no carryback or carryforward of any unused credits.
(b) As used in this section, "taxing jurisdiction" means a state of the United States other than the state of Washington, the District of Columbia, the Commonwealth of Puerto Rico, any territory or possession of the United States, or any foreign country or political subdivision of a foreign country.
[ 2021 c 196 § 11.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.120 - Joint filers—Separate filers—Tax liability.

RCW 82.87.120
Joint filers—Separate filers—Tax liability.
(1) If the federal income tax liabilities of both spouses are determined on a joint federal return for the taxable year, they must file a joint return under this chapter.
(2) Except as otherwise provided in this subsection, if the federal income tax liability of either spouse is determined on a separate federal return for the taxable year, they must file separate returns under this chapter. State registered domestic partners may file a joint return under this chapter even if they filed separate federal returns for the taxable year.
(3) The liability for tax due under this chapter of each spouse or state registered domestic partner is joint and several, unless:
(a) The spouse is relieved of liability for federal tax purposes as provided under Title 26 U.S.C. Sec. 6015 of the internal revenue code; or
(b) The department determines that the domestic partner qualifies for relief as provided by rule of the department. Such rule, to the extent possible without being inconsistent with this chapter, must follow Title 26 U.S.C. Sec. 6015.
[ 2021 c 196 § 13.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.130 - Administration of taxes.

RCW 82.87.130
Administration of taxes.
Except as otherwise provided by law and to the extent not inconsistent with the provisions of this chapter, chapter 82.32 RCW applies to the administration of taxes imposed under this chapter.
[ 2021 c 196 § 14.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.140 - Tax criminal penalties.

RCW 82.87.140
Tax criminal penalties.
(1) Any taxpayer who knowingly attempts to evade payment of the tax imposed under this chapter is guilty of a class C felony as provided in chapter 9A.20 RCW.
(2) Any taxpayer who knowingly fails to pay tax, make returns, keep records, or supply information, as required under this title, is guilty of a gross misdemeanor as provided in chapter 9A.20 RCW.
[ 2021 c 196 § 15.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.87 - Capital Gains Tax. › 82.87.150 - Annual adjustments.

RCW 82.87.150
Annual adjustments.
(1) Beginning December 2023 and each December thereafter, the department must adjust the applicable amounts by multiplying the current applicable amounts by one plus the percentage by which the most current consumer price index available on December 1st of the current year exceeds the consumer price index for the prior 12-month period, and rounding the result to the nearest $1,000. If an adjustment under this subsection (1) would reduce the applicable amounts, the department must not adjust the applicable amounts for use in the following year. The department must publish the adjusted applicable amounts on its public website by December 31st. The adjusted applicable amounts calculated under this subsection (1) take effect for taxes due and distributions made, as the case may be, in the following calendar year.
(2) For purposes of this section, the following definitions apply:
(a) "Applicable amounts" means:
(i) The distribution amount to the education legacy trust account as provided in RCW 82.87.030(1)(a);
(ii) The standard deduction amount in RCW 82.87.020(13) and 82.87.060(1);
(iii)  The worldwide gross revenue amount under RCW 82.87.070; and
(iv) The minimum qualifying charitable donation amount and maximum charitable donation amount under RCW 82.87.080.
(b) "Consumer price index" means the consumer price index for all urban consumers, all items, for the Seattle area as calculated by the United States bureau of labor statistics or its successor agency.
(c) "Seattle area" means the geographic area sample that includes Seattle and surrounding areas.
[ 2021 c 196 § 17.]
NOTES:
Automatic expiration date and tax preference performance statement exemption—2021 c 196: See note following RCW 82.87.010.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.020 - Conditions for lessors.

RCW 82.89.020
Conditions for lessors.
The lessor or owner of a qualified building is not eligible for a deferral under this chapter unless:
(1) The underlying ownership of the building, 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 deferral to the lessee;
(b) The lessee that receives the economic benefit of the deferral agrees in writing with the department to complete the annual tax performance report required under RCW  82.32.534; and
(c) The economic benefit of the deferral passed to the lessee is no less than the amount of tax deferred by the lessor and is evidenced by written documentation of any type of payment, credit, or other financial arrangement between the lessor or owner of the qualified building and the lessee.
[ 2022 c 185 § 2.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.030 - Applications.

RCW 82.89.030
Applications. (Expires January 1, 2033.)
(1) Applications for deferral of taxes under this chapter must be made before initiation of the construction of the eligible 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 application must contain information regarding the location of the eligible investment project, the applicant's average employment in the state for the prior year, estimated or actual new employment related to the eligible investment project, estimated or actual wages of employees related to the eligible investment project, estimated or actual costs, time schedules for completion and operation, and other information required by the department. The department must rule on the application within 60 days.
(2) The department may not accept applications for the deferral under this chapter after June 30, 2032.
(3) This section expires January 1, 2033.
[ 2022 c 185 § 3.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.040 - Tax deferral certificates.

RCW 82.89.040
Tax deferral certificates. (Expires January 1, 2033.)
(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, 82.14, and 81.104 RCW on each eligible investment project. The certificate may only be used to make purchases of materials and equipment, labor, or services to be incorporated in the eligible investment project at the location listed on the certificate.
(2) No certificate may be issued for an investment project that has already received a deferral under this chapter or chapter 82.60 or 82.85 RCW.
(3) No certificate may be issued for an eligible investment project that has not had an application approved by the department as provided in RCW 82.89.030.
(4) The department must keep a running total of all deferrals granted under this chapter during each fiscal biennium.
(5) This section expires January 1, 2033.
[ 2022 c 185 § 4.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.050 - Requirements for recipients—Meaningful construction.

RCW 82.89.050
Requirements for recipients—Meaningful construction.
(1) The recipient of a deferral certificate under RCW 82.89.040 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 funding is not considered a circumstance beyond the recipient's control.
(2) If the recipient does not begin meaningful construction on an eligible investment project within two years of receiving a deferral certificate, the deferral certificate issued under RCW 82.89.040 is invalid and taxes deferred under this chapter are due immediately.
[ 2022 c 185 § 5.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.060 - Repayment schedule—Interest, penalties, and insolvency—Transfer of ownership.

RCW 82.89.060
Repayment schedule—Interest, penalties, and insolvency—Transfer of ownership.
(1) The recipient must begin paying the deferred taxes in the second year after the date certified by the department as the date on which the eligible investment project has been operationally completed. The first payment of 10 percent of the deferred taxes is due on December 31st of the second calendar year after the certified date, with subsequent annual payments of 10 percent of the deferred taxes due on December 31st for each of the following nine years.
(2) The department may authorize an accelerated repayment schedule upon request of the recipient.
(3) Interest may not be charged on any taxes deferred under this chapter for the period of deferral, although all other penalties and interest applicable to delinquent excise taxes may be assessed and imposed for delinquent payments under this chapter.
(4) The department must assess interest at the rate provided for delinquent taxes, but not penalties, retroactively to the date of deferral for a recipient who must repay deferred taxes under this chapter because the department has found that a purchase is not eligible for tax deferral.
(5) The debt for deferred taxes are not extinguished by insolvency or other failure of the recipient.
(6) Transfer of ownership does not terminate the deferral. The deferral is transferred, subject to the successor meeting the eligibility requirements of this chapter, for the remaining periods of the deferral.
[ 2022 c 185 § 6.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.080 - Conditions on recipients—Annual tax performance report—Immediate repayment.

RCW 82.89.080
Conditions on recipients—Annual tax performance report—Immediate repayment.
(1) 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. Reports must be filed for the first calendar year after the eligible investment project is operationally complete and continue through the end of the calendar year in which the final repayment occurs. If the economic benefits of the deferral are passed to a lessee, as provided in RCW 82.89.020, the lessee must file a complete annual tax performance report and the applicant is not required to file a complete annual tax performance report.
(2) If the eligible investment project is not operationally complete within five calendar years from the issuance of the tax deferral certificate, or if, on the basis of the tax performance report under RCW 82.32.534 or other information, the department finds that an eligible investment project is used for purposes other than those listed in RCW 82.89.010(2) at any time during the calendar year in which the investment is certified by the department as having been operationally completed, or at any time during any of the repayment period, a portion of deferred taxes is immediately due according to the following schedule:
Year in which use occurs
Percent of
deferred taxes due
1. . . .
100
2. . . .
100
3. . . .
100
4. . . .
90
5. . . .
80
6. . . .
70
7. . . .
60
8. . . .
50
9. . . .
40
10. . . .
30
11. . . .
20
12. . . .
10
(3) If the economic benefits of a tax deferral under this chapter are passed to a lessee as provided in RCW 82.89.020, the lessee is responsible for payment to the extent the lessee has received the economic benefit.
[ 2022 c 185 § 8.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.900 - Applicability of general administrative provisions.

RCW 82.89.900
Applicability of general administrative provisions.
To the extent not inconsistent with the provisions of this chapter, chapter 82.32 RCW applies to the administration of this chapter.
[ 2022 c 185 § 9.]
NOTES:
Tax preference performance automatic expiration exception—Tax preference performance statement—2022 c 185: See notes following RCW 82.89.070.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.89 - Tax Deferrals for Investment Projects. › 82.89.901 - Effective date—2022 c 185.

RCW 82.89.901
Effective date—2022 c 185.
This act takes effect July 1, 2022.
[ 2022 c 185 § 13.]
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.010 - Findings—Intent.

RCW 82.90.010
Findings—Intent.
(1) The legislature finds that while Washington state has significant solar resources and increasing electricity generation from solar installations, these are concentrated in rooftop installations and in utility-scale solar projects on rural lands that could otherwise be devoted to crop lands, grazing lands, or other productive uses. A recent study estimates that in the United States about 51 percent of utility-scale solar facilities are in deserts, 33 percent are on croplands, 10 percent are in grasslands and forests, and only 2.5 percent of solar power comes from urban areas.
(2) The legislature further finds that in urbanized areas the land devoted to transportation, both moving and parking vehicles, is substantial and becomes unavailable for additional uses. Surface parking lots that serve large commercial, industrial, and residential institutional developments present an opportunity for solar power on parking lot canopies to gain added benefits for the use of this land. Solar canopies would significantly contribute to the state's goals of reducing greenhouse gas emissions from the electricity sector and boost overall electricity supplies as the state increases the electrification of transportation and powering and heating buildings. Additionally, solar canopies provide weather protection in summer and winter to both the vehicles under the canopies and people moving from their cars into the buildings served by the parking lot.
(3) The legislature further finds that the initial capital costs of installing solar generation on parking lot canopies will in most cases be fully amortized over time with the power generated and sold into the electricity system, but that initial capital costs may deter incorporation of installations into new projects. For these reasons, the legislature intends to provide for a deferral of state and local sales and use taxes for eligible costs of the construction of a solar canopy at qualifying commercial centers.
[ 2022 c 161 § 1.]
NOTES:
Tax preference performance statement—Automatic tax preference expiration—Exception—2022 c 161: See notes following RCW 82.90.040.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.030 - Applications.

RCW 82.90.030
Applications.
(1) Application for deferral of taxes under this chapter must be made before initiation of the construction of the investment project. The application must be made to the department in a form and manner prescribed by the department. The application must contain information regarding the location of the investment project, estimated or actual costs, time schedules for completion and operation, anticipated nameplate capacity and use of the electricity produced by the solar canopy, and other information required by the department. The department must rule on the application within 60 days. The department must compile this information for use by the joint legislative audit and review committee in its evaluation of the tax preference under section 9, chapter 161, Laws of 2022.
(2) The department may not accept applications for the deferral under this chapter after June 30, 2032.
[ 2022 c 161 § 3.]
NOTES:
Tax preference performance statement—Automatic tax preference expiration—Exception—2022 c 161: See notes following RCW 82.90.040.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.040 - Tax deferral certificates.

RCW 82.90.040
Tax deferral certificates.
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.
[ 2022 c 161 § 4.]
NOTES:
Tax preference performance statement—2022 c 161: "This section is the tax preference performance statement for the sales and use tax deferral program created in sections 4 and 7, chapter 161, Laws of 2022. This performance statement is only intended to be used for subsequent evaluation of the tax preference. It is not intended to create a private right of action by any party or be used to determine eligibility for preferential tax treatment.
(1) The legislature categorizes the tax preference created in this act as one intended to induce certain designated behavior by taxpayers, as indicated in RCW 82.32.808(2)(a).
(2) It is the legislature's specific public policy objective to incentivize the construction of solar canopies in the state of Washington in order to reduce greenhouse gas emissions from the electricity sector and boost overall electricity supplies as the state increases the electrification of transportation and powering and heating buildings.
(3) Pursuant to chapter 43.136 RCW, the joint legislative audit and review committee must review the sales and use tax deferral created in this act by December 31, 2030. The review must specifically evaluate:
(a) The number of solar canopies constructed in the state subject to a sales and use tax deferral under this act;
(b) The average and total electric output of solar canopies subject to a sales and use tax deferral under this act;
(c) The total beneficiary savings from the tax preference created in this act;
(d) The estimated reduction in greenhouse gas emissions resulting from energy produced from solar canopies assuming an equivalent amount of energy would have otherwise been generated through the combustion of fossil fuels; and
(e) Any other metrics the committee finds relevant to the evaluation of the tax preference created in this act in meeting its public policy objective.
(4) In order to obtain the data necessary to perform the review in subsection (3) of this section, the joint legislative audit and review committee shall use information collected, compiled, and provided by the department of revenue. The committee may also contact recipients of the sales and use tax deferral under this act to confirm details of solar canopies." [ 2022 c 161 § 9.]
Automatic tax preference expiration—Exception—2022 c 161: "The automatic expiration date for tax preferences in RCW 82.32.805 does not apply to this act." [ 2022 c 161 § 11.]
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.050 - Requirements for recipients—Meaningful construction.

RCW 82.90.050
Requirements for recipients—Meaningful construction.
(1) The recipient of a deferral certificate under RCW 82.90.040 must begin meaningful construction on an eligible investment project within one year of receiving a deferral certificate, unless construction was delayed due to circumstances beyond the recipient's control. Lack of funding is not considered a circumstance beyond the recipient's control.
(2) If the recipient does not begin meaningful construction on an eligible investment project within one year of receiving a deferral certificate, the deferral certificate issued under RCW 82.90.040 is invalid and taxes deferred under this chapter are due immediately.
(3) A recipient of a deferral certificate under RCW 82.90.040 must notify the department and update the information originally provided in the application if the solar canopy, at the time of completion, will produce an amount of electricity that is less than 85 percent of the nameplate capacity originally assumed.
(4) Each recipient of a deferral of taxes under this chapter must file a complete annual tax performance report with the department under RCW 82.32.534 for the year the solar canopy is certified as operationally complete and for the subsequent seven years. If the solar canopy ceases to be connected to the electrical grid, the annual tax performance report is no longer required beginning on the date the solar canopy was disconnected from the electrical grid.
[ 2022 c 161 § 5.]
NOTES:
Tax preference performance statement—Automatic tax preference expiration—Exception—2022 c 161: See notes following RCW 82.90.040.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.070 - Repayment schedule—Interest, penalties, and insolvency—Transfer of ownership.

RCW 82.90.070
Repayment schedule—Interest, penalties, and insolvency—Transfer of ownership.
(1) Except as otherwise provided in this chapter, the recipient must begin paying the deferred taxes in the second year after the date certified by the department as the date on which the eligible investment project has been operationally completed. The first payment of 12.5 percent of the deferred taxes is due on December 31st of the second calendar year after the certified date, with subsequent annual payments of 12.5 percent of the deferred taxes due on December 31st for each of the following seven years.
(2) The department may authorize an accelerated repayment schedule upon request of the recipient.
(3) If the investment project is not operationally complete within two calendar years from the issuance of the tax deferral certificate, or if, on the basis of the tax performance report under RCW 82.32.534 or other information, the department finds that an investment project is not connected to the electrical grid and producing solar energy at any time during the calendar year in which the investment project is certified by the department as having been operationally completed, or at any time during any of the seven succeeding calendar years, a portion of deferred taxes is immediately due according to the following schedule:
Year in which
use occurs
Percent of deferred taxes due
1
100
2
100
3
87.5
4
75
5
62.5
6
50
7
37.5
8
25
9
12.5
(4) The department must assess interest at the rate provided for delinquent taxes, but not penalties, retroactively to the date of deferral for a recipient who must repay deferred taxes under this chapter because the department has found that an investment project is not eligible for tax deferral. The debt for deferred taxes is not extinguished by insolvency or other failure of the recipient.
(5) Transfer of ownership does not terminate the deferral. The deferral is transferred, subject to the successor meeting the eligibility requirements of this chapter, for the remaining periods of the deferral.
[ 2022 c 161 § 7.]
NOTES:
Tax preference performance statement—Automatic tax preference expiration—Exception—2022 c 161: See notes following RCW 82.90.040.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.080 - Conditions for lessors.

RCW 82.90.080
Conditions for lessors.
A lessor or owner of an eligible investment project is not eligible for a deferral under this chapter unless:
(1) The underlying ownership of the qualified solar canopy vests exclusively in the same person; or
(2)(a) The lessor by written contract agrees to pass the economic benefit of the deferral to the lessee;
(b) The lessee that receives the economic benefit of the deferral agrees in writing with the department to complete the annual tax performance report required under RCW 82.32.534; and
(c) The economic benefit of the deferral passed to the lessee is no less than the amount of tax deferred by the lessor and is evidenced by written documentation of any type of payment, credit, or other financial arrangement between the lessor or owner of the eligible investment project and the lessee.
[ 2023 c 374 § 20; 2022 c 161 § 8.]
NOTES:
Tax preference performance statement—Automatic tax preference expiration—Exception—2022 c 161: See notes following RCW 82.90.040.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.90 - Tax Deferrals for Solar Canopies. › 82.90.900 - Effective date—2022 c 161.

RCW 82.90.900
Effective date—2022 c 161.
This act takes effect July 1, 2022.
[ 2022 c 161 § 12.]
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.005 - Findings.

RCW 82.92.005
Findings.
The legislature finds that:
(1) Many cities in Washington are actively planning for growth under the growth management act, chapter 36.70A RCW;
(2) The construction industry provides living wage jobs for families across Washington;
(3) In the current economic climate, the creation of additional affordable housing units is essential to the economic health of our cities and our state;
(4) It is critical that Washington state promote its cities and its property owners that will provide affordable housing;
(5) A meaningful, fair, and predictable economic incentive should be created to stimulate the redevelopment of underdeveloped property in targeted urban areas through a limited sales and use tax deferral program as provided by this chapter;
(6) This limited tax deferral will help the owners of underdeveloped property achieve the highest and best use of land and enable cities to more fully realize their planning goals; and
(7) Data regarding the number of additional affordable units created due to the limited tax deferral will be evaluated to determine if this tool could be used to increase affordable housing in other areas of the state.
[ 2022 c 241 § 1.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.007 - Purpose.

RCW 82.92.007
Purpose.
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 cities to which this chapter applies may authorize a sales and use tax deferral for an investment project within the city if the legislative authority of the city finds that there are significant areas of underdeveloped land and a lack of affordable housing in areas proximate to the land. If a conditional recipient maintains the property for qualifying purposes for at least 10 years, deferred sales and use taxes need not be repaid.
[ 2022 c 241 § 2.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.020 - Requirements for governing authorities.

RCW 82.92.020
Requirements for governing authorities.
(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 place of a hearing to be held by the governing authority to consider the creation of the tax deferral program and may include such other information pertaining to the creation of the deferral program as the governing authority determines to be appropriate to apprise the public of the action intended. However, the resolution must provide information pertaining to:
(a) The application process;
(b) The approval process;
(c) The appeals process for applications denied approval; and
(d) Additional requirements, conditions, and obligations that must be followed postapproval of an application.
(2) The governing authority must give notice of a hearing held under this chapter by publication of the notice once each week for two consecutive weeks, not less than seven days, nor more than 30 days before the date of the hearing in a paper having a general circulation in the city. The notice must state the time, date, place, and purpose of the hearing.
(3) Following the hearing or a continuance of the hearing, the governing authority may authorize the creation of the program.
[ 2022 c 241 § 4.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.040 - Conditional certification.

RCW 82.92.040
Conditional certification.
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 to renting or selling at least 50 percent of the units as affordable rental housing or affordable homeownership housing to very low, low, and moderate-income households. In a mixed use project, only the ground floor of a building may be used for commercial purposes with the remainder dedicated to multifamily housing units;
(b) At least 50 percent of the investment project set aside for multifamily housing units will be rented at a price at or below fair market rent for the county or sold at a price at or below county median price; and
(c) The applicant commits to any additional affordability and income eligibility conditions adopted by the local government under this chapter not otherwise inconsistent with this chapter;
(2) The investment project is, or will be, at the time of completion, in conformance with all local plans and regulations that apply at the time the application is approved;
(3) The investment project will occur on land that constitutes underdeveloped property;
(4) The area where the investment project will occur is located within an area zoned for residential or mixed uses;
(5) The terms and conditions of the implementation of the development meets the requirements of this chapter and any requirements of the city that are not otherwise inconsistent with this chapter;
(6) The land where the investment project will occur was not acquired through a condemnation proceeding under Title 8 RCW; and
(7) All other requirements of this chapter have been satisfied as well as any other requirements of the city that are not otherwise inconsistent with this chapter.
[ 2022 c 241 § 6.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.050 - Approval of applications—Appeals.

RCW 82.92.050
Approval of applications—Appeals.
(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 of program approval. The certificate must contain a statement by a duly authorized administrative official of the governing authority that the investment project as described in the application will comply with the required criteria of this chapter.
(3) If the application is denied by the city, the city must state in writing the reasons for denial and send the notice to the applicant at the applicant's last known address within 10 days of the denial.
(4) Upon denial by the city, an applicant may appeal the denial to the city's governing authority or a city official designated by the city to hear such appeals within 30 days after receipt of the denial. The appeal before the city's governing authority or designated city official must be based upon the record made before the city with the burden of proof on the applicant to show that there was no substantial evidence to support the city's decision. The decision of the city on the appeal is final.
[ 2022 c 241 § 7.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.060 - Application fee.

RCW 82.92.060
Application fee.
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 application for program approval is filed.
[ 2022 c 241 § 8.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.080 - Annual report by conditional recipient—Annual tax performance report—Report by city.

RCW 82.92.080
Annual report by conditional recipient—Annual tax performance report—Report by city.
(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 statement of the affordable housing units constructed on the property as of the anniversary date;
(b) A certification by the conditional recipient that the property has not changed use;
(c) A description of changes or improvements constructed after issuance of the certificate of occupancy; and
(d) Any additional information requested by the city.
(2) The conditional recipient of a deferral of taxes under this chapter must file a complete annual tax performance report with the department pursuant to RCW 82.32.534 beginning the year the certificate of occupancy is issued and each year thereafter for 10 years.
(3) A city that issues a certificate of program approval under this chapter must report annually by December 31st of each year, beginning in 2022, to the department of commerce. The report must include the following information:
(a) The number of program approval certificates granted;
(b) The total number and type of new buildings constructed;
(c) The number of affordable housing units resulting from the new construction; and
(d) The estimated value of the sales and use tax deferral for each investment project receiving a program approval and the total estimated value of sales and use tax deferrals granted.
[ 2022 c 241 § 10.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.090 - Application to department.

RCW 82.92.090
Application to department. (Expires July 1, 2032.)
(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 construction of, each qualified building. The application must be made to the department in a form and manner prescribed by the department. The application must include a copy of the conditional certificate of program approval issued by the city, estimated construction costs, time schedules for completion and operation, and any other information required by the department. The department must rule on the application within 60 days.
(2) The department must provide information to the conditional recipient regarding documentation that must be retained by the conditional recipient in order to substantiate the amount of sales and use tax actually deferred under this chapter.
(3) The department may not accept applications for the deferral under this chapter after June 30, 2032.
(4) The application must include a waiver by the conditional recipient of the four-year limitation under RCW 82.32.100.
(5) This section expires July 1, 2032.
[ 2022 c 241 § 11.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.100 - Tax deferral certificates.

RCW 82.92.100
Tax deferral certificates. (Expires July 1, 2032.)
(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 82.14 RCW on each eligible investment project.
(2) The department must keep a running total of all estimated sales and use tax deferrals provided under this chapter during each fiscal biennium.
(3) The deferral certificate is valid during active construction of a qualified investment project and expires on the day the city issues a certificate of occupancy for the investment project for which a deferral certificate was issued.
(4) This section expires July 1, 2032.
[ 2022 c 241 § 12.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.110 - Discontinued compliance with program requirements—Payment of taxes, interest, and penalties.

RCW 82.92.110
Discontinued compliance with program requirements—Payment of taxes, interest, and penalties.
(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 use tax deferral certificate and the conditional recipient has received a certificate of occupancy, the city finds that a portion of an investment project is changed or will be changed to disqualify the recipient for sales and use tax deferral eligibility under this chapter, the city must notify the department and all deferred sales and use taxes are immediately due and payable. The department must assess interest at the rate provided for delinquent taxes and penalties retroactively to the date of deferral. A debt for deferred taxes will not be extinguished by insolvency or other failure of the recipient.
(3) This section does not apply after 10 years from the date of the certificate of occupancy.
[ 2022 c 241 § 13.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.92 - Tax Deferrals for Underdeveloped Urban Land Redevelopment. › 82.92.120 - Transfer of project ownership.

RCW 82.92.120
Transfer of project ownership.
(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 transfer. The city must certify to the department that the successor meets the requirements of the deferral. The transferor must provide the information necessary for the department to transfer the deferral. If the transferor fails to notify the city and the department, all deferred sales and use taxes are immediately due and payable. The department must assess interest at the rate provided for delinquent taxes and penalties retroactively to the date of deferral.
[ 2022 c 241 § 14.]
NOTES:
Tax preference performance statement—2022 c 241: See note following RCW 82.92.030.
2023 Revised Code of Washington › Title 82 - Excise Taxes › Chapter 82.94 - Tax Deferrals for Manufacturing and Research and Development. › 82.94.005 - Findings—Intent.

RCW 82.94.005
Findings—Intent.
(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 degree of job growth and investment. The legislature further finds that, in some areas, increased economic development incentives are needed to help support economic growth and that a one-size-fits-all approach to economic development does not work for the diversity of the statewide economy. For these reasons, the legislature intends to establish a tax deferral program to be effective solely in certain targeted counties. The legislature declares that this limited program serves the vital public purpose of creating employment opportunities and generally spurring economic development in these counties of the state.
(2) The legislature also finds that chapter 257, Laws of 2022 is consistent with the Substitute House Bill No. 1170, the Washington BEST manufacturing act, enacted in 2021. The 2021 Washington BEST manufacturing act recognized that the state must retain and build on its leadership in the manufacturing and research and development sectors and also recognized that a thriving manufacturing and research sector are complimentary and should be promoted in every region of the state. Therefore, the legislature further finds the sales and use tax deferral program for manufacturing and research and development in chapter 257, Laws of 2022 is a critical tool and strategy to help achieve the goals expressed in the Washington BEST manufacturing act of doubling the state's manufacturing employment base, the number of small businesses, and the number of women and minority-owned manufacturing businesses in the next 10 years.
[ 2022 c 257 § 101.]