Chapter 3.08
EXCISE TAX ON LEASES OF PUBLIC PROPERTY
Sections:
3.08.030 Administration and collection.
3.08.050 Consent to inspection of records.
3.08.060 Authority to contract with state.
3.08.010 Tax imposed.
There is levied and shall be collected a leasehold excise tax July 1, 1976, upon the act or privilege of occupying or using publicly owned real or personal property within the city through a “leasehold interest” as defined by Section 2, Chapter 61, Laws of 1975-76, Second Extraordinary Session (hereafter in this chapter referred to 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. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 1, 1976)
3.08.020 Rate of tax.
The rate of the tax imposed by SMC 3.08.010 shall be four 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 (i) any leasehold interest arising out of any lease of property covered by the provisions of RCW 28B.20.394 and (ii) 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 80 percent of the tax produced by the above rate;
2. With respect to taxes due in calendar year 1977, a credit equal to 60 percent of the tax produced by the above rate;
3. With respect to taxes due in calendar year 1978, a credit equal to 40 percent of the tax produced by the above rate;
4. With respect to taxes due in calendar year 1979, a credit equal to 40 percent of the tax produced by the above rate;
5. With respect to a product lease (as defined by Section 2 of the state act), a credit equal to 33 percent of the tax produced by the above rate. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 2, 1976)
3.08.030 Administration and collection.
The administration and collection of the tax imposed by the ordinance codified in this chapter shall be in accordance with the provisions of the state act. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 3, 1976)
3.08.040 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 SMC 3.08.010. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 4, 1976)
3.08.050 Consent to inspection of records.
The city consents to the inspection of records as are necessary to qualify the city for inspection of records of the Department of Revenue pursuant to RCW 82.32.330. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 5, 1976)
3.08.060 Authority to contract with state.
The city manager is authorized to execute a contract with the Department of Revenue of the state for the administration and collection of the tax imposed by SMC 3.08.010; provided, that the city attorney shall first approve the form and content of the contract. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 6, 1976)
3.08.070 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 any other persons or circumstance is not affected. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 7, 1976)
3.08.090 Violation.
Failure to pay the tax authorized by this chapter shall be a misdemeanor. (Ord. 2009-036 § 1; Ord. 2009-022; Ord. 335 § 8, 1976)