Chapter 4.12
LEASEHOLD EXCISE TAX

Sections:

4.12.010    Levy of Tax.

4.12.020    Rate of Tax.

4.12.030    Tax Credit Allowed.

4.12.040    Administration and Collection.

4.12.050    Exemptions.

4.12.060    Inspection of Records.

4.12.070    Severability.

Cross-references: Chapter 82.29A RCW; RCW 82.32.330

4.12.010 Levy of Tax.

There is levied and shall be collected a leasehold excise tax on and after January 1, 1976, upon the act or privilege of occupying or using publicly owned real or personal property within the County through a "leasehold interest" as defined by Section 2, Chapter 61, Laws of 1975-76, Second Extraordinary Session (referred to in this Chapter as the "State Act"). The tax shall be paid, collected, and remitted to the Department of Revenue of the State at the time and in the manner prescribed by Section 5 of the State Act. (Prior Code § 9.10.010)

4.12.020 Rate of Tax.

The rate of the tax imposed by Section 4.12.010 shall be 6 percent 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:

A.    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 (1) any leasehold interest arising out of any lease of property covered by the provisions of RCW 28B.20.394 and (2) any lease or agreement including options to renew which extends beyond January 1, 1985, as follows:

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

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

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

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

B.    With respect to a product lease (as defined by Section 2 of the State Act), a credit of 33 percent of the tax produced by the above rate.

(Prior Code § 9.10.020)

4.12.030 Tax Credit Allowed.

There shall be allowed against the tax otherwise imposed by this Chapter a credit for the full amount of any leasehold excise tax authorized by Section 4 of the State Act and imposed upon the same taxable event by any city or town. (Prior Code § 9.10.030)

4.12.040 Administration and Collection.

The administration and collection of the tax imposed by this Chapter shall be in accordance with the provisions of the State Act. (Prior Code § 9.10.040)

4.12.050 Exemptions.

Leasehold interests exempted by Section 13 of the State Act as it now exists or may hereafter be amended shall be exempt from the tax imposed pursuant to Section 4.12.010. (Prior Code § 9.10.050)

4.12.060 Inspection of Records.

The County consents to the inspection of such records as are necessary to qualify the County for inspection of records of the Department of Revenue pursuant to RCW 82.32.330. (Prior Code § 9.10.060)

4.12.070 Severability.

If any provision of this Chapter or its application to any person or circumstance is held invalid, the remainder of the Chapter or the application of the provision to other persons or circumstances shall not be affected. (Ord. 89-155 § 7, 1989)