reglab/statecodes huggingface dataset:
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-182 - Warehouse businesses

Current through Register Vol. 24-14, July 15, 2024
(1)
Definitions.
For purposes of this section the following terms and
			 meanings will apply:
(a) "Warehouse" means
			 every structure wherein facilities are offered for the storage of tangible
			 personal property.
(b) "Storage
			 warehouse" means a building or structure, or any part thereof, in which goods,
			 wares, or merchandise are received for storage for compensation, except field
			 warehouses, fruit warehouses, fruit packing plants, warehouses licensed under
			 chapter
			 22.09 RCW (which are
			 agricultural commodities warehouses), public garages storing automobiles,
			 railroad freight sheds, docks and wharves, and "self-storage" or "mini-storage"
			 facilities whereby customers have direct access to individual storage areas by
			 separate access.
(c) "Cold storage
			 warehouse" means a storage warehouse used to store fresh and/or frozen
			 perishable fruits or vegetables, meat, seafood, dairy products, or fowl, or any
			 combination thereof, at a desired temperature to maintain the quality of the
			 product for orderly marketing. This term does not include freezer space or
			 frozen food lockers.
(d)
			 "Automobile storage garage" means any off-street building, structure, or area
			 where vehicles are parked or stored, for any period of time, for a
			 charge.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-182 - Warehouse and other storage businesses

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the application of the business
			 and occupation (B&O) tax and retail sales and use taxes to warehouse and
			 other storage businesses. It also clarifies the taxability for some specific
			 storage-related activities.
(2)
Other rules that may apply.
You may want to refer to other rules
			 for additional information, including the following:
(a) WAC 458-20-115 Sales of packing materials
			 and containers;
(b) WAC 458-20-118 Sale or rental of real estate, license to use real estate;
(c) WAC 458-20-133 Frozen food
			 lockers;
(d) WAC 458-20-180 Motor
			 carriers;
(e) WAC 458-20-181 Vessels, including log patrols, tugs and barges, operating upon waters in the
			 state of Washington;
(f) WAC
			 458-20-193D Transportation, communication, public utility activities, or other
			 services in interstate or foreign commerce; and
(g) WAC 458-20-211 Leases or rentals of
			 tangible personal property, bailments.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-183 - Recreational services and activities

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the tax reporting instructions
			 for persons who provide the services and activities described in
			 RCW
			 82.04.050(15). This rule
			 refers to these services and activities as "recreational services and
			 activities." This rule does not address charges for:
(a) Operating an "athletic or fitness
			 facility" (refer to
			 RCW
			 82.04.050(3) for information
			 about the taxability of operating an athletic or fitness facility);
			 or
(b) Day camps offered by a
			 nonprofit organization or a state or local government entity that provides
			 youth not older than age eighteen, or that are focused on providing individuals
			 with disabilities or mental illness, the opportunity to participate in a
			 variety of supervised activities.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-185 - Tax on tobacco product

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the tax liabilities of persons
			 engaged in business as retailers or distributors of tobacco products other than
			 cigarettes. The tax on tobacco products (also called "other tobacco products
			 tax," "tobacco tax," or "OTP tax") is in addition to all other taxes owed, such
			 as retailing or wholesaling business and occupation tax, sales tax, and litter
			 tax. See WAC
			 458-20-186 for
			 tax liabilities associated with taxes that apply exclusively to
			 cigarettes.
(2)
Organization
			 of rule.
The information provided in this rule is divided into five
			 parts:
(a) Part I provides definitions and
			 explains the tax liabilities of persons engaged in the business of selling or
			 distributing tobacco products (excluding cigarettes) in this state.
(b) Part II explains wholesale and retail
			 tobacco products vendor licensing requirements and responsibilities.
(c) Part III explains the requirements and
			 responsibilities for persons transporting tobacco products in
			 Washington.
(d) Part IV explains
			 the recordkeeping requirements and enforcement of the tobacco tax.
(e) Part V describes the credits for tax paid
			 and the procedures that must be followed to qualify for credit.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-186 - Tax on cigarette

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the tax liabilities of persons
			 who sell, use, consume, handle, possess, or distribute cigarettes in
			 Washington. The tax on cigarettes (also called the "cigarette tax") is in
			 addition to all other taxes owed, such as retailing or wholesaling business and
			 occupation tax, retail sales tax, use tax, and litter tax. See WAC
			 458-20-185
			 for tax liabilities associated with taxes that apply to tobacco products other
			 than cigarettes.
(2)
Organization of rule.
The information provided in this rule is
			 divided into eight parts:
(a) Part I explains
			 the tax liabilities of persons who sell, use, consume, handle, possess, or
			 distribute cigarettes in this state.
(b) Part II explains wholesale and retail
			 cigarette vendor licensing requirements and responsibilities.
(c) Part III explains stamping requirements,
			 cigarette tax rates, and refunds.
(d) Part IV describes the roll-your-own
			 cigarette provisions.
(e) Part V
			 describes the exemptions from the tax and the procedures that must be followed
			 to qualify for exemption.
(f) Part
			 VI explains the requirements and responsibilities for persons transporting
			 cigarettes in Washington.
(g) Part
			 VII explains the enforcement and administration of the cigarette tax.
(h) Part VIII explains requirements and
			 responsibilities related to making sales or purchases of cigarettes in Indian
			 country.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-187 - Tax responsibility of vending machine owners and operators

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the taxability of income from the
			 sale, lease, and operation of vending machines. It does not apply to vending
			 machines used in the conduct of a public utility business, such as public pay
			 telephones.
(2)
Other rules
			 that may apply.
Readers may want to refer to other rules for additional
			 information, including those in the following list:
(a) WAC
			 458-20-102 Reseller
			 permits.
(b) WAC
			 458-20-108 Selling price-Credit
			 card service fees, foreign currency, discounts, patronage dividends.
(c) WAC
			 458-20-127 Newspapers, magazines,
			 and periodicals.
(d) WAC
			 458-20-131 Gambling
			 activities.
(e) WAC
			 458-20-15503 Digital
			 products.
(f) WAC
			 458-20-165 Laundry, dry cleaning,
			 linen and uniform supply, and self-service and coin-operated laundry
			 services.
(g) WAC
			 458-20-178 Use tax and the use of
			 tangible personal property.
(h) WAC
			 458-20-183 Amusement, recreation,
			 and physical fitness services.
(i)
			 WAC 458-20-185 Tax on tobacco
			 products.
(j) WAC
			 458-20-186 Tax on
			 cigarettes.
(k) WAC
			 458-20-243 Litter tax.
(l) WAC
			 458-20-244 Food and food
			 ingredients.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-18801 - Medical substances, devices, and supplies for humans-Drugs prescribed for human use-Medically prescribed oxygen- Prosthetic devices-Mobility enhancing equipment-Durable medical equipment

Current through Register Vol. 24-14, July 15, 2024
PART 1
-
			 INTRODUCTION
(101)
Introduction.
This rule provides tax-reporting information for
			 persons making sales of medical products. It also provides information about
			 the retail sales tax and use tax exemptions available for the sale and use of
			 certain medical products for humans.
(102)
How is this rule
			 organized?
This rule is divided into five parts as follows:
(a)
Part 1 - Introduction.
Part
			 1 provides information relating to the purpose of the rule, how the rule is
			 organized, and provides a listing of additional rules that may be helpful to
			 the reader in determining taxability related to medical products.
(b)
Part 2 - Medical products.
Part 2 of this rule identifies what "medical products" include for purposes of
			 this rule. Medical products is not a statutory term, but instead, is a term
			 used simply to collectively describe the medical items addressed by this
			 rule.
(c)
Part 3 - Applicable
			 taxes.
Part 3 of this rule provides information on the taxes that apply
			 to the sale, use, purchase, or manufacture of medical products.
(d)
Part 4 - Common exemptions.
Part 4 of this rule provides information on common retail sales tax and use tax
			 exemptions related to medical products.
(e)
Part 5 - Bundled
			 transactions.
Part 5 of this rule addresses the treatment of bundled
			 transactions involving medical products.
(103)
How are examples included in this
			 rule to be used?
This rule contains examples, which identify a number of
			 facts and then state a conclusion. The examples should be used only as a
			 general guide. The tax results of other situations must be determined after a
			 review of all of the facts and circumstances.
(104)
What are some other department of
			 revenue rules that address medical or health related providers that might
			 apply?
The department of revenue (department) has adopted other rules
			 addressing the taxability of various activities related to the providing of
			 health care. Readers may want to refer to the following rules for additional
			 information:
(a) WAC
			 458-20-150, Optometrists,
			 ophthalmologists, and opticians;
(b) WAC
			 458-20-151, Dentists,
			 audiologists, and other health care providers-Dental laboratories and dental
			 technicians;
(c) WAC
			 458-20-168, Hospitals, nursing
			 homes, assisted living facilities, adult family homes and similar health care
			 facilities.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-189 - Sales to and by the state of Washington and municipal corporations, including counties, cities, towns, school districts, and fire districts

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule discusses the business and occupation
			 (B&O), retail sales, use, and public utility tax applications to sales made
			 to and by the state of Washington and municipal corporations including, but not
			 limited to, counties, cities, towns, school districts, fire districts, and
			 other special districts.
(a)
Other
			 rules that may apply.
Readers may also want to refer to other rules for
			 additional information, including the following:
(i) WAC
			 458-20-106
			 Casual or isolated sales-Business reorganizations.
(ii) WAC
			 458-20-118
			 Sale or rental of real estate, license to use real estate.
(iii) WAC
			 458-20-167
			 Educational institutions, school districts, student organizations, and private
			 schools.
(iv) WAC
			 458-20-168
			 Hospitals, nursing homes, assisted living facilities, adult family homes and
			 similar health care facilities.
(v)
			 WAC
			 458-20-179
			 Public utility tax.
(vi) WAC
			 458-20-180 Motor
			 carriers.
(vii) WAC
			 458-20-201
			 Interdepartmental charges.
(viii)
			 WAC
			 458-20-250
			 Solid waste collection tax.
(ix)
			 WAC
			 458-20-251
			 Sewerage collection and other related activities.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-190 - Sales to and by the United States and certain entities created by the United States-Doing business on federal reservations-Sales to foreign governments

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
Federal law prohibits states from directly imposing
			 taxes on the United States. Persons doing business with the United States,
			 however, are subject to the taxes imposed by the state of Washington, unless
			 specifically exempt. This rule explains the tax reporting responsibilities of
			 persons making sales to the United States and to foreign governments. The rule
			 also explains the tax reporting responsibilities of persons engaging in
			 business activities within federal reservations and cleaning up radioactive
			 waste and other by-products of weapons production for the United States.
(a)
Other rules that may be
			 relevant.
(i) WAC
			 458-20-17001 Government
			 contracting-Construction, installations, or improvements to government real
			 property.
(ii) WAC
			 458-20-171 Building, repairing or
			 improving streets, roads, etc., which are owned by a municipal corporation or
			 political subdivision of the state or by the United States and which are used
			 primarily for foot or vehicular traffic.
(iii) WAC
			 458-20-178 Use tax and the use of
			 tangible personal property.
(iv)
			 WAC 458-20-186 Tax on
			 cigarettes.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-192 - Indians - Indian country

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
(a) Under federal
			 law the state may not tax Indians or Indian tribes in Indian country. In some
			 instances the state's authority to impose tax on a nonmember doing business in
			 Indian country with an Indian or an Indian tribe is also preempted by federal
			 law. This rule only addresses those taxes administered by the department of
			 revenue (department).
(b) The rules
			 of construction used in analyzing the application of tax laws to Indians and
			 nonmembers doing business with Indians are:
(i) Treaties are to be construed in the sense
			 in which they would naturally have been understood by the Indians;
			 and
(ii) Statutes are to be
			 construed liberally in favor of the Indians, with ambiguous provisions
			 interpreted to their benefit.
(c) This rule reflects the harmonizing of
			 federal law, Washington state tax law, and the policies and objectives of the
			 Centennial Accord and the Millennium Agreement. It is consistent with the
			 mission of the department of revenue, which is to achieve equity and fairness
			 in the application of the law.
(d)
			 It is the department's policy and practice to work with individual tribes on a
			 government-to-government basis to discuss and resolve areas of mutual
			 concern.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-193 - Interstate sales of tangible personal property

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule
			 explains the application of the business and occupation (B&O) and retail
			 sales taxes to interstate sales of tangible personal property.
(a) The following rules may also be helpful:
(i) WAC
			 458-20-178
			 Use tax and the use of tangible personal property.
(ii) WAC
			 458-20-193C
			 Imports and exports-Sales of goods from or to persons in foreign
			 countries.
(iii) WAC
			 458-20-193D
			 Transportation, communication, public utility activities, or other services in
			 interstate or foreign commerce.
(iv) WAC
			 458-20-19401
			 Minimum nexus threshold for apportionable receipts.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-193C - Imports and exports-Sales of goods from or to persons in foreign countries

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the application of the business
			 and occupation (B&O) and retail sales taxes to sales of imports and
			 exports. For purposes of this rule, the terms "good," "goods," "article," and
			 "articles" mean "tangible personal property."
(2)
Other rules that may apply.
Readers may want to refer to other rules for additional information, including:
(a) WAC
			 458-20-178
			 Use tax and the use of tangible personal property.
(b) WAC
			 458-20-193
			 Interstate sales of tangible personal property.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-19403 - Apportionable royalty receipts attribution

Current through Register Vol. 24-14, July 15, 2024
PART 1. INTRODUCTION.
(101)
General.
Effective June 1,
			 2010, Washington changed its method of apportioning royalty receipts. This rule
			 only addresses how apportionable royalty receipts must be attributed for the
			 purposes of economic nexus and single factor receipts apportionment. This rule
			 is limited to the attribution of apportionable royalty receipts for periods
			 after May 31, 2010.
(102)
Guide to this rule.
This rule is divided into two parts as
			 follows:
1.Introduction.
2.How to attribute apportionable royalty receipts.
(103)
Reference to WAC
			 458-20-19402.
This rule
			 only provides a method to attribute apportionable royalty receipts in lieu of
			 the attribution methods specified in WAC
			 458-20-19402(301) (a) and
			 (b). Otherwise, WAC
			 458-20-19402 controls the
			 apportionment of royalty receipts. Specifically, WAC
			 458-20-19402 provides: (a) An
			 overview of single factor receipts apportionment (Part 2); (b) guidance on how
			 to attribute apportionable royalty receipts if this rule does not apply (Part
			 3); (c) guidance on how to calculate the receipts factor (Part 4); (d) guidance
			 on how to determine taxable income (Part 5); and (e) reporting instructions
			 (Part 6).
(104)
Other
			 rules.
Taxpayers may also find helpful information in the following
			 rules:
(a) WAC
			 458-20-19401
Minimum nexus
			 thresholds for apportionable activities.
This rule describes minimum
			 nexus thresholds applicable to apportionable activities that are effective
			 after May 31, 2010.
(b) WAC
			 458-20-19402
Single factor
			 receipts appor-tionmentGenerally.
This rule describes the general
			 application of single factor receipts apportionment and applies only to tax
			 liability incurred after May 31, 2010.
(c) WAC
			 458-20-19404
Single factor
			 receipts apportionmentFinancial institutions.
This rule describes the
			 application of single factor receipts apportionment to certain income of
			 financial institutions and applies only to tax liability incurred after May 31,
			 2010.
(d) WAC
			 458-20-194
Doing business
			 inside and outside the state.
This rule describes separate accounting
			 and cost apportionment and applies only to tax liability incurred from January
			 1, 2006, through May 31, 2010.
(e)
			 WAC 458-20-14601
Financial
			 institutions Income apportionment.
This rule describes the apportionment
			 of income for financial institutions for tax liability incurred prior to June
			 1, 2010.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-19404 - Financial institutions-Income apportionment

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
(a) Effective June 1, 2010, Washington
			 changed its method of apportioning certain gross income from engaging in
			 business as a financial institution. This rule addresses how such gross income
			 must be apportioned when the financial institution engages in business both
			 within and outside the state.
(b)
									RCW
			 82.04.460(2) requires the
			 department, to the extent feasible, to adopt the multistate tax commission's
			 recommended formula for apportionment and allocation of net income for
			 financial institutions, with the exceptions that the definition of financial
			 institution in the appendix to the recommended formula is advisory only and
			 only the receipts factor will be used to apportion income.
(c) On July 29, 2015, the multistate tax
			 commission approved amendments to its recommended formula for the apportionment
			 and allocation of net income of financial institutions including amendments to
			 how the receipts factor is calculated. The amendments are effective for tax
			 years starting on or after January 1, 2016.
(d) This rule applies to the apportionment of
			 income taxable under
			 RCW
			 82.04.290 for periods beginning January 1,
			 2016.
(e) Taxpayers may also find
			 helpful information in the following rules:
(i) WAC
			 458-20-19401 Minimum nexus
			 thresholds for apportionable activities. This rule describes minimum nexus
			 standards that are effective after May 31, 2010.
(ii) WAC
			 458-20-19402 Single factor
			 receipts apportionment Generally. This rule describes the general application
			 of single factor receipts apportionment that is effective after May 31,
			 2010.
(iii) WAC
			 458-20-19403 Single factor
			 receipts apportionment Royalties. This rule describes the application of single
			 factor receipts apportionment to gross income from royalties and applies only
			 to tax liability incurred after May 31, 2010.
(iv) WAC
			 458-20-194 Doing business inside
			 and outside the state. This rule describes separate accounting and cost
			 apportionment. It applies only to the periods January 1, 2006, through May 31,
			 2010.
(v) WAC 458-20-19404A
			 Financial institutions Income apportionment. This rule describes the
			 application of single factor receipts apportionment to gross income for
			 financial institutions during the period June 1, 2010, through December 31,
			 2015.
(vi) WAC
			 458-20-14601 Financial
			 institutions Income apportionment. This rule describes the apportionment of
			 income for financial institutions for periods prior to June 1, 2010.
(f) Financial institutions engaged
			 in making interstate sales of tangible personal property should also refer to
			 WAC 458-20-193, Inbound and outbound
			 interstate sales of tangible personal property.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-19404A - Financial institutions Income apportionment

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
(a) Effective June 1, 2010, Washington
			 changed its method of apportioning certain gross income from engaging in
			 business as a financial institution. This rule addresses how such gross income
			 must be apportioned when the financial institution engages in business both
			 within and outside the state and applies to the period June 1, 2010, through
			 December 31, 2015, only. See WAC
			 458-20-19404 Financial
			 institutions Income apportionment for the proper apportionment methodology for
			 periods beginning January 1, 2016.
(b) Taxpayers may also find helpful
			 information in the following rules:
(i) WAC
			 458-20-19401 Minimum nexus
			 thresholds for apportionable activities. This rule describes minimum nexus
			 standards that are effective after May 31, 2010.
(ii) WAC
			 458-20-19402 Single factor
			 receipts apportionment Generally. This rule describes the general application
			 of single factor receipts apportionment that is effective after May 31,
			 2010.
(iii) WAC
			 458-20-19403 Single factor
			 receipts apportionment Royalties. This rule describes the application of single
			 factor receipts apportionment to gross income from royalties and applies only
			 to tax liability incurred after May 31, 2010.
(iv) WAC
			 458-20-194 Doing business inside
			 and outside the state. This rule describes separate accounting and cost
			 apportionment. It applies only to the periods January 1, 2006, through May 31,
			 2010.
(v) WAC
			 458-20-14601 Financial
			 institutions Income apportionment. This rule describes the apportionment of
			 income for financial institutions for periods prior to June 1, 2010.
(c) Financial institutions engaged
			 in making interstate sales of tangible personal property should also refer to
			 WAC 458-20-193 Inbound and outbound
			 interstate sales of tangible personal property.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-19405 - CPI-U adjustments to minimum nexus thresholds for apportionable activities (Repealed)

Current through Register Vol. 24-14, July 15, 2024
Statutory
				Authority:
				RCW
				82.04.067,
				82.32.300, and
				82.01.060(2). WSR
				13-22-044, § 458-20-19405, filed 10/31/13, effective 12/1/13. WSR
				13-21-033, § 458-20-19405, filed 10/9/2013, effective
				11/9/2013
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-196 - Bad debts

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule provides information about the tax
			 treatment of bad debts when income is reported by a taxpayer, but that income
			 is ultimately not received by the taxpayer.
(a)
References to related rules.
The department has adopted other rules that readers may want to refer to:
(i) WAC
			 458-20-197
			 When tax liability arises;
(ii) WAC
			 458-20-198
			 Installment sales, method of reporting;
(iii) WAC
			 458-20-199
			 Accounting methods;
(iv) WAC
			 458-20-229
			 Refunds.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-197 - When tax liability arises

Current through Register Vol. 24-14, July 15, 2024
(1) Gross
			 proceeds of sales and gross income shall be included in the excise tax return
			 for the period in which the value proceeds or accrues to the taxpayer. For the
			 purpose of determining tax liability of persons making sales of tangible
			 personal property, a sale takes place when the goods sold are delivered to the
			 buyer in this state. With respect to leases or rentals of tangible personal
			 property, liability for retail sales tax arises as of the time the rental
			 payments fall due (see WAC
			 458-20-211 ).
(2)
Accrual basis.
(a) When excise tax returns are made upon the
			 accrual basis, value accrues to a taxpayer at the time:
(i) The taxpayer becomes legally entitled to
			 receive the consideration, or,
(ii)
			 In accord with the system of accounting regularly employed, enters as a charge
			 against the purchaser, customer, or client the amount of the consideration
			 agreed upon, whether payable immediately or at a definitely determined future
			 time.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-198 - Installment sales, method of reporting

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule
			 explains the tax-reporting responsibilities of persons making installment sales
			 of tangible personal property under the business and occupation (B&O),
			 retail sales, and use taxes.
(2)
How is income from installment sales of tangible personal property
			 reported?
The seller must report the full selling price of installment
			 sales of tangible personal property in the tax-reporting period during which
			 the sale is made. This is true even when the buyer pays the tax to the seller
			 in installments over time.
(a)
Leases
			 not taxable as installment sales.
A lease under WAC
			 458-20-211 (Leases or rentals of
			 tangible personal property, bailments) is not taxable as an installment
			 sale.
(b)
Interest
			 income.
Persons who receive interest or finance charges from an
			 installment sale must pay B&O tax under the service and other business
			 activities classification on receipt of these amounts. Retail sales and use
			 taxes do not generally apply to these amounts. Refer to WAC
			 458-20-109 (Finance charges,
			 carrying charges, interest, penalties) for further information.
(c)
Assignment of rights to receive
			 payments.
A seller may sell or assign the right to receive payments on
			 an installment sale to another business. The assignee should not report any
			 sales or use taxes on such payments because the seller is responsible for
			 remitting the full amount of sales tax. For information on how to report a
			 buyer's default on an installment obligation, refer to WAC
			 458-20-196 (Bad debts).
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-200 - Leased departments

Current through Register Vol. 24-14, July 15, 2024
(1) Any person
			 leasing departments of the business conducted may include in its tax returns
			 the business done and sales made by the lessee where such lessor keeps the
			 books for the lessee and makes collection on the latter's account: Provided,
			 however, That each lessee must apply for and obtain from the department of
			 revenue a certificate of registration, as provided under WAC
			 458-20-101. The lessee will
			 remain liable for its tax liability if the lessor fails to make the proper
			 return or fails to pay taxes due.
(2)
Business and occupation tax and
			 retail sales tax.
Any taxpayer making returns for any leased department
			 shall report the total tax liability thereof under both the business and
			 occupation tax and the retail sales tax, including therein all cash and charge
			 sales. The leased department in such case is not entitled to the taxable
			 minimum provided in WAC
			 458-20-104.
(a) Where the lessor receives a flat monthly
			 rental or a percentage of sales as rental for a leased department, such income
			 is presumed to be from the rental of real estate and is not taxable. In a
			 determination of whether an occupancy is a rental of real estate, all the facts
			 and circumstances, including the actual relationship of the parties, are to be
			 considered (see: WAC
			 458-20-118 ). Written agreements,
			 while not required, are preferred and are given considerable weight in deciding
			 the nature of the occupancy. While the fact that the written agreement may
			 identify the occupancy as a "lease" is not controlling, agreements which
			 contain the following provisions support the presumption that the occupancy is
			 a rental of real estate:
i.The occupant is
			 granted exclusive possession and control of the space.
ii.The occupancy is for a time certain which
			 is more than 30 days, i.e. month to month, yearly, etc.
iii.The parties are required to notify each
			 other in the event of termination of the occupancy.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-201 - Interdepartmental charges

Current through Register Vol. 24-14, July 15, 2024
The term "interdepartmental charges" means amounts credited to
				the sales account or other gross income account of a taxpayer for goods,
				materials or services furnished by one department or branch of a business
				organization to another department or branch of the same business concern or
				firm.
Tax may be due upon interdepartmental charges covering
				transfers of goods from a central location to two or more retail outlets. See
				WAC 458-20-231, Tax on internal distributions. Tax is also due upon the value
				of products extracted or manufactured by one branch or department of a business
				for commercial or industrial use of another branch or department of the same
				business. See WAC
				458-20-134. In other cases
				amounts representing interdepartmental charges may be excluded in computing tax
				due. This does not permit the exclusion or deduction of charges against or
				income derived from an affiliated corporation or other affiliated
				association.
Municipal corporations are entitled to an exclusion of
				interdepartmental charges in computing tax whether or not the charges represent
				an actual transfer of money or merely a bookkeeping entry (see WAC
				458-20-189 ).
Statutory Authority:
				  RCW
				  82.32.300. 83-08-026 (Order ET 83-1), §
				  458-20-201, filed 3/30/83; Order ET 70-3, § 458-20-201 (Rule 201), filed
				  5/29/70, effective 7/1/70.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-202 - Pool purchases

Current through Register Vol. 24-14, July 15, 2024
The term "pool purchase" means the joint purchase by two or
				more persons, engaging in independent business activities, of commodities in
				carload or truck load quantities for the purpose of obtaining a purchase price
				or freight rate which is less than when purchased or delivered in smaller
				quantities.
The term "principal member" means that member of the pool to
				whom the goods are charged by the vendor of the commodities purchased.
In computing tax liability of the principal member under
				chapter
				82.04 RCW, there may be
				deducted from gross proceeds of sales the amount received by him from other
				members of the pool of their proportionate share of the cost thereof of the
				commodities purchased.
This deduction is allowed only when all of the following
				conditions are met:
(1) The amount
			 received is included in gross proceeds of sales.
(2) The pool purchase agreement was entered
			 into prior to the time of placing the order for the commodities
			 purchased.
(3) The pool purchase
			 agreement provides that each member shall accept a specific portion of the
			 shipment.
(4) Division of the
			 shipment is made prior to warehousing of the commodities by a member of the
			 pool.
In no event will a "pool purchase" deduction be allowed when an
				agreement relative to the amount of the share to be distributed to any member
				is made after the date of the purchase order, or where one member of a pool
				pays an amount for his portion in excess of the proportionate amount paid by
				another member.
Revised June 1, 1970.
Order ET 70-3, § 458-20-202 (Rule 202), filed 5/29/70,
				  effective 7/1/70.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-203 - Corporations, Massachusetts trusts

Current through Register Vol. 24-14, July 15, 2024
Each separately organized corporation is a "person" within the
				meaning of the law, notwithstanding its affiliation with or relation to any
				other corporation through stock ownership by a parent corporation by the same
				group of individuals.
Each corporation shall file a separate return and include
				therein the tax liability accruing to such corporation. This applies to each
				corporation in an affiliated group, as the law makes no provision for filing of
				consolidated returns by affiliated corporations or for the elimination of
				intercompany transactions from the measure of tax.
Each unincorporated association organized under the
				Massachusetts Trust Act of 1959 (chapter 23.90 RCW) is likewise taxable in
				the same way as are separate corporations.
Revised June 20, 1959.
Order ET 70-3, § 458-20-203 (Rule 203), filed 5/29/70,
				  effective 7/1/70.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-204 - Outdoor advertising and advertising display services

Current through Register Vol. 24-14, July 15, 2024
The term "outdoor advertising" means the business of rendering
				an advertising service to others by posting or painting advertising copy upon
				billboards owned or controlled by the outdoor advertiser.
The term "advertising display service" means the business of
				installing and maintaining advertising displays upon property of others, when
				title to the property used in the display is retained by the person engaged in
				such business.
Business and Occupation Tax
Service and other business activities.
Taxable
				under the service and other business activities classification upon the gross
				income from advertising services.
Retail Sales Tax
Persons engaged in the business of outdoor advertising or
				advertising display services are performing an advertising service, and are not
				required to collect the retail sales tax. Persons purchasing or producing
				tangible personal property for use in the performance of advertising services
				are required to pay the retail sales tax upon purchasing such property, or the
				use tax upon the value of the property produced and used in the performance of
				such services.
Revised May 1, 1943.
Order ET 70-3, § 458-20-204 (Rule 204), filed 5/29/70,
				  effective 7/1/70.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-205 - Sales of utility services by building companies

Current through Register Vol. 24-14, July 15, 2024
When building companies, apartment house owners or other real
				estate owners or lessors furnish utility services such as heat and electrical
				energy to their own tenants of office buildings, apartment houses and
				storerooms under circumstances indicating it is a part of the normal and
				customary landlord-tenant relationship and the charge made therefor is the cost
				of this utility service to the owner or lessor prorated among his tenants based
				upon the use or consumption of such services, the income derived therefrom is
				construed to be incidental to and a part of gross income from the renting or
				leasing of real estate and not subject to the provisions of the business and
				occupation tax. This is true whether the charge therefor is included in a lump
				sum rental or is billed separately. However, when the furnishing of utility
				services is not in accordance with the foregoing, the income derived therefrom
				is considered to be a separate business activity and is taxable under the
				appropriate chapter of the Revenue Act.
Revised June 1, 1970.
Order ET 70-3, § 458-20-205 (Rule 205), filed 5/29/70,
				  effective 7/1/70.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-207 - Legal, arbitration, and mediation services

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule
			 explains the taxability of amounts received for legal, arbitration, and
			 mediation services.
(2)
Definitions.
(a) "Arbitration"
			 means the process by which the parties to a dispute submit to the hearing and
			 judgment of an impartial person or group appointed by mutual consent or
			 statute.
(b) "Arbitration services"
			 means services relating to the resolution of a dispute submitted to
			 arbitration.
(c) "Attorney" means
			 an active member of a state Bar Association engaged in the practice of law. The
			 term also includes a professional service corporation incorporated under
			 chapter
			 18.100 RCW, a
			 professional limited liability company formed under chapter 18.190 RCW, or a
			 partnership, provided the ownership of these business entities are properly
			 restricted to attorneys and organized primarily for engaging in the practice of
			 law.
(d) "Legal services" means
			 services relating to or concerned with the law. Such services include, but are
			 not limited to, representation by an attorney (or other person, when permitted)
			 in an administrative or legal proceeding, legal drafting, paralegal services,
			 legal research services, arbitration, mediation, and court reporting
			 services.
(e) "Mediation" means the
			 process by which the parties to a dispute or negotiations agree to have an
			 intermediary hear their differences and/or positions and facilitate and/or make
			 suggestions concerning an agreement and/or the resolution of their
			 dispute.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-209 - Farming for hire and horticultural services performed for farmers

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule provides tax reporting information for
			 persons performing horticultural services for farmers. Persons providing
			 horticultural services to persons other than farmers should refer to WAC
			 458-20-226 (Landscape and
			 horticultural services). Farmers and persons making sales to farmers may also
			 want to refer to the following rules:
(a) WAC
			 458-20-210 (Sales of tangible
			 personal property for farming-Sales of agricultural products by farmers);
			 and
(b) WAC
			 458-20-239 (Sales to nonresidents
			 of farm machinery or implements, and related services).
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-210 - Sales of tangible personal property for farming-Sales of agricultural products by farmers

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This rule explains the application of business and
			 occupation (B&O), retail sales, and use taxes to the sale and/or use of
			 feed, seed, fertilizer, spray materials, and other tangible personal property
			 for farming. This rule also explains the application of B&O, retail sales,
			 and litter taxes to the sale of agricultural products by farmers. Farmers
			 should refer to WAC
			 458-20-101 (Tax registration and
			 tax reporting) to determine whether they must obtain a tax registration
			 endorsement or a temporary registration certificate from the department of
			 revenue (department).
(a)
Examples.
This rule contains examples that identify a number of
			 facts and then state a conclusion. These examples should be used only as a
			 general guide. The tax results of other situations must be determined after a
			 review of all facts and circumstances.
(b)
Other rules that may be
			 relevant.
Farmers and persons making sales to farmers may also want to
			 refer to rules in the following list for additional information:
(i) WAC
			 458-20-178 Use tax and the use of
			 tangible personal property;
(ii)
			 WAC 458-20-209 Farming for hire and
			 horticultural services performed for farmers;
(iii) WAC
			 458-20-222
			 Veterinarians;
(iv) WAC
			 458-20-239 Sales to nonresidents
			 of farm machinery or implements, and related services;
(v) WAC
			 458-20-243 Litter tax;
			 and
(vi) WAC
			 458-20-262 Retail sales and use
			 tax exemptions for farmworker housing.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-211 - Leases or rentals of tangible personal property, bailments

Current through Register Vol. 24-14, July 15, 2024
(1)
Introduction.
This section explains how persons are taxable who
			 rent or lease tangible personal property or rent equipment with an operator. It
			 explains that some activities performed by operated equipment may be taxable
			 under classifications other than retail sales if the operator and equipment
			 perform activities as a prime contractor or subcontractor and these activities
			 are specifically classified under other tax classifications by the revenue act.
			 Readers may want to refer to rules in the following list:
(a) WAC
			 458-20-102
			 Reseller permits.
(b) WAC
			 458-20-13501
			 Timber harvest operations.
(c) WAC
			 458-20-170
			 Constructing and repairing of new or existing buildings or other structures
			 upon real property.
(d) WAC
			 458-20-17001
			 Government contracting-Construction, installations, or improvements to
			 government real property.
(e) WAC
			 458-20-171
			 Building, repairing or improving streets, roads, etc., which are owned by a
			 municipal corporation or political subdivision of the state or by the United
			 States and which are used primarily for foot or vehicular traffic.
(f) WAC
			 458-20-180 Motor
			 carriers.
(g) WAC
			 458-20-198
			 Installment sales, method of reporting.
(h) WAC
			 458-20-209
			 Farming for hire and horticultural services performed for farmers.
Washington Administrative Code › Title 458 - Revenue, Department of › Chapter 458-20 - Excise tax rules › Section 458-20-214 - Cooperative marketing associations and independent dealers acting as agents of others with respect to the sale of fruit and produce

Current through Register Vol. 24-14, July 15, 2024
(1) Persons engaged in the business of buying
			 and selling fruit or produce, as agents of others, are taxable under the
			 provisions of the business and occupation tax and the retail sales tax as
			 provided in this section. Tax is due on the business activities of such
			 persons, irrespective of whether the business is conducted as a cooperative
			 marketing association or as an independent produce agent.
(2) Persons who derive income from receiving,
			 washing, sorting, packing, or otherwise preparing for sale, perishable
			 horticultural products for others are also subject to business and occupation
			 tax, except when such activities are performed for the growers of such products
			 (RCW
			 82.04.4287.)
(3) Business and occupation tax.
(a) Retailing. Taxable with respect to the
			 sale of ladders, picking bags, and similar equipment to consumers.
(b) Wholesaling. Taxable with respect to:
(i) The sale of boxes, nails, labels and
			 similar supplies sold to growers for their use in packing fruit and produce for
			 sale;
(ii) The sale of insecticides
			 used as spray for fruits and produce;
(c) Warehousing. Taxable with respect to
			 gross income from cold storage warehousing, but not including the rental of
			 cold storage lockers. See also WAC
			 458-20-182.
(d) Service and other business activities.
			 Taxable with respect to:
(i) Commissions for
			 buying or selling;
(ii) Charges
			 made for interest, no deduction being allowed for interest paid;
(iii) Charges for handling;
(iv) Charges for receiving, washing, sorting,
			 and packing of fresh perishable horticultural products and the material and
			 supplies used therein, when performed for persons other than the growers
			 thereof;
(v) Rentals of cold
			 storage lockers; and
(vi) Other
			 miscellaneous charges, including analysis fees, but excepting actual charges
			 made for foreign brokerage and bona fide charges for receiving, washing,
			 sorting and packing fresh perishable horticultural crops and the materials and
			 supplies used therein when performed for the grower, either as agent or
			 independent contractor.