Chapter 4.64
LEASEHOLD EXCISE TAX

Sections:

4.64.010    Imposition – Collection.

4.64.020    Rate.

4.64.030    Credit against tax.

4.64.040    Administration and collection.

4.64.050    Exemptions.

4.64.060    Consent to the inspection of records.

4.64.070    Contract.

4.64.080    Violation – Penalty.

4.64.010 Imposition – Collection.

There is imposed 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 (hereafter “the state act”). The tax shall be paid, collected, and remitted to the department of revenue of the state of Washington at the time and in the manner prescribed by Section 5 of the state act.

(Ord. 63 (1976) § 1, 1976)

4.64.020 Rate.

The rate of the tax imposed by Section 4.64.010 shall be six 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 any lease or agreement including options to renew which extends beyond January 1, 1985, as follows:

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

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

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

(4)    With respect to taxes due in calendar year 1979, a credit equal to twenty 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 thirty-three percent of the tax produced by the above rate.

(Ord. 63 (1976) § 2, 1976)

4.64.030 Credit against tax.

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.

(Ord. 63 (1976) § 3, 1976)

4.64.040 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.

(Ord. 63 (1976) § 4, 1976)

4.64.050 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 4.24.010.

(Ord. 63 (1976) § 5, 1976)

4.64.060 Consent to the 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.

(Ord. 63 (1976) § 6, 1976)

4.64.070 Contract.

The chairman of the county commissioners is authorized to execute a contract with the Department of Revenue of the state of Washington for the administration and collection of the tax imposed by Section 4.64.010. Provided, that the prosecuting attorney shall first approve the form and content of said contract.

(Ord. 63 (1976) § 7, 1976)

4.64.080 Violation – Penalty.

The willful failure of any lessee, whether a corporate entity or a natural person, to pay the tax at the time and in the manner required by this chapter shall constitute a misdemeanor violation, punishable by a fine not to exceed two hundred fifty dollars or by imprisonment in the county jail for a term not to exceed ninety days. The president of any corporate entity shall be responsible for corporate compliance with this chapter.

(Ord. 63 (1976) § 9, 1976)