Chapter 5.12
LEASEHOLD EXCISE TAX1
Sections:
5.12.010 Levied – Statutory authority – Leasehold interest defined.
5.12.020 State Act adopted by reference.
5.12.030 Payment time and method.
5.12.040 Rate imposed – Credits allowed.
5.12.050 Administration and collection.
5.12.060 Leasehold interest exempt when.
5.12.070 Consent to records inspection.
5.12.080 Contract with state – City manager authority.
5.12.100 Copies of the State Act filed where.
5.12.010 Levied – Statutory authority – Leasehold interest defined.
There is levied, and shall be collected, a leasehold excise tax on and after the first day of January, 1976, upon the act or privilege of occupying or using publicly owned real or personal property within the corporate limits of the city through a “leasehold interest,” as defined by the Laws of the State of Washington, Section 2, Chapter 61, Laws of 1975-1976, Second Extraordinary Session. [Ord. 94B, 1976.]
5.12.020 State Act adopted by reference.
For the purposes of this chapter, the Laws of the State of Washington, Chapter 61, Laws of 1975-1976, Second Extraordinary Session, shall be, and the same are, adopted by reference and said laws shall in this chapter be designated “the State Act.” [Ord. 94B, 1976.]
5.12.030 Payment time and method.
The tax imposed by this chapter 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. 94B, 1976.]
5.12.040 Rate imposed – Credits allowed.
The rate of tax imposed by CMC 5.12.010 shall be four percent of the taxable rent as defined in 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 said 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:
a. With respect to taxes due in the calendar year 1976, a credit equal to 80 percent of the tax produced by the above rate;
b. With respect to taxes due in the calendar year 1977, a credit equal to 60 percent of the tax produced by the above rate;
c. With respect to taxes due in the calendar year 1978, a credit equal to 40 percent of the tax produced by the above rate;
d. 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. [Ord. 94B, 1976.]
5.12.050 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. 94B, 1976.]
5.12.060 Leasehold interest exempt when.
Leasehold interest 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 CMC 5.12.010. [Ord. 94B, 1976.]
5.12.070 Consent to records inspection.
The city consents to the inspection of such records as are necessary to qualify the city for inspection of records of the Department of Revenue pursuant to RCW 82.32.330. [Ord. 94B, 1976.]
5.12.080 Contract with state – City manager authority.
The city manager is authorized to execute a contract with the Washington State Department of Revenue for the administration and collection of the tax imposed by CMC 5.12.010; provided, that the city attorney shall first approve the form and content of said contract. [Ord. 94B, 1976.]
5.12.090 Applicability.
If any provision of this chapter or its application to any person or circumstances is held invalid, the remainder of the chapter or the application of the provision to other persons or circumstances is not affected. [Ord. 94B, 1976.]
5.12.100 Copies of the State Act filed where.
Not less than three copies of the State Act shall be held in the office of the city treasurer for inspection and use by the citizens of the city. [Ord. 94B, 1976.]
Code reviser’s note: For statutory provisions on the leasehold excise tax, see Chapter 82.29A RCW.