3.14.020 Tax rate—Credits.

The rate of tax imposed by Section 3.14.010 of this chapter shall be six percent (6%) of the taxable rent (as defined by Section 2 of the State Act); provided, that the following credits shall be allowed in determining the tax payable:

(1)    With respect to a leasehold interest arising out of any lease or agreement, the terms of which were binding on the lessee prior to July 1, 1970, where such lease or agreement has not been renegotiated (as defined by Section 2 of the State Act) since that date, and excluding from such credit (a) any leasehold interest arising out of any lease of property covered by the provisions of RCW 28B.20.394 and (b) any lease or agreement including options to renew which extends beyond January 1, 1985, as follows:

(a)    With respect to taxes due in calendar year 1976, a credit equal to eighty percent (80%) of the tax produced by the above rate;

(b)    With respect to taxes due in calendar year 1977, a credit equal to sixty percent (60%) of the tax produced by the above rate;

(c)    With respect to taxes due in calendar year 1978, a credit equal to forty percent (40%) of the tax produced by the above rate;

(d)    With respect to taxes due in calendar year 1979, a credit equal to twenty percent (20%) of the tax produced by the above rate.

(2)    With respect to a product lease (as defined by Section 2 of the State Act), a credit of thirty-three percent (33%) of the tax produced by the above rate. (Sec. 1 of Ord. 1986-04-05)