Chapter 3.16
LEASEHOLD EXCISE TAX
Sections:
3.16.040 Leasehold interest exemption.
3.16.060 Contract for collection.
3.16.010 Levied.
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 city 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. 735 §1, 1976)
3.16.020 Rate.
The rate of the tax imposed by Section 3.16.010 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 (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:
1. With respect to taxes due in calendar year 1976, a credit equal to eighty percent of the tax produced by the rate in this section,
2. With respect to taxes due in calendar year 1977, a credit equal to sixty percent of the tax produced by the rate in this section,
3. With respect to taxes due in calendar year 1978, a credit equal to forty percent of the tax produced by the rate in this section,
4. With respect to taxes due in calendar year 1979, a credit equal to twenty percent of the tax produced by the rate in this section;
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 rate in this section. (Ord. 735 §2, 1976)
3.16.030 Administration.
The administration and collection of the tax imposed by this chapter shall be in accordance with the provisions of the State Act. (Ord. 735 §3, 1976)
3.16.040 Leasehold interest exemption.
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 3.16.010. (Ord. 735 §4, 1976)
3.16.050 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. 735 §5, 1976)
3.16.060 Contract for collection.
The mayor is authorized to execute a contract with the Department of Revenue of the state for administration and collection of the tax imposed by Section 3.16.010; provided, that the city attorney shall first approve the form and content the contract. (Ord. 735 §6, 1976)
3.16.070 Violation--Penalty.
Any person violating or failing to comply with any of the provisions of this chapter shall be guilty of a misdemeanor and, upon conviction there of, shall be punished by a fine of any sum not exceed three hundred dollars, or by imprisonment in the City Jail for a period not exceeding thirty days or by both such fine and imprisonment. Each day that such violation continues shall be a separate violation and shall be further subject to additional violation of this chapter. (Ord. 735 §8, 1976)