2005 Washington Revised Code RCW 82.04.4463: Credit — Property taxes paid on property used for manufacture of commercial airplanes. (Effective until January 1, 2007.)

(1) In computing the tax imposed under this chapter, a credit is allowed for property taxes paid during the calendar year.

     (2) The credit is equal to:

     (a)(i) Property taxes paid on new buildings, and land upon which this property is located, built after December 1, 2003, and used exclusively in manufacturing commercial airplanes or components of such airplanes; or

     (ii) Property taxes attributable to an increase in assessed value due to the renovation or expansion, after December 1, 2003, of a building used exclusively in manufacturing commercial airplanes or components of such airplanes; and

     (b) An amount equal to property taxes paid on machinery and equipment exempt under RCW 82.08.02565 or 82.12.02565 and acquired after December 1, 2003, multiplied by a fraction. The numerator of the fraction is the total taxable amount subject to the tax imposed under *RCW 82.04.260(13) and the denominator of the fraction is the total taxable amount subject to the tax imposed under all manufacturing classifications in chapter 82.04 RCW, required to be reported on the person's returns for the calendar year before the calendar year in which the credit under this section is earned. No credit is available under this subsection (2)(b) if either the numerator or the denominator of the fraction is zero. If the fraction is greater than or equal to nine-tenths, then the fraction is rounded to one. For purposes of this subsection, "returns" means the combined excise tax returns for the calendar year.

     (3) For the purposes of this section, "commercial passenger airplane" and "component" have the meanings given in RCW 82.32.550.

     (4) A person taking the credit under this section is subject to all the requirements of chapter 82.32 RCW. In addition, the person must report as required under RCW 82.32.545. A credit earned during one calendar year may be carried over to be credited against taxes incurred in a subsequent calendar year, but may not be carried over a second year. No refunds may be granted for credits under this section.

     (5) In addition to all other requirements under this title, a person taking the credit under this section must report as required under RCW 82.32.545.

     (6) This section expires July 1, 2024.

[2005 c 514 § 501; 2003 2nd sp.s. c 1 § 15.]

*Reviser's note: RCW 82.04.260 was amended by 2005 c 443 § 4, changing subsection (13) to subsection (11), effective July 1, 2006.      Effective date -- 2005 c 514 §§ 501 and 1002: "Sections 501 and 1002 of this act take effect January 1, 2006." [2005 c 514 § 1305.]      Part headings not law -- Severability -- 2005 c 514: See notes following RCW 82.12.808.      Contingent effective date -- 2003 2nd sp.s. c 1: See RCW 82.32.550.      Finding -- 2003 2nd sp.s. c 1: See note following RCW 82.04.4461. RCW 82.04.4463 (1) In computing the tax imposed under this chapter, a credit is allowed for property taxes and leasehold excise taxes paid during the calendar year.      (2) The credit is equal to:      (a)(i)(A) Property taxes paid on new buildings, and land upon which this property is located, built after December 1, 2003, and used exclusively in manufacturing commercial airplanes or components of such airplanes; and      (B) Leasehold excise taxes paid with respect to a building built after January 1, 2006, the land upon which the building is located, or both, if the building is used exclusively in manufacturing commercial airplanes or components of such airplanes; or      (ii) Property taxes attributable to an increase in assessed value due to the renovation or expansion, after December 1, 2003, of a building used exclusively in manufacturing commercial airplanes or components of such airplanes; and      (b) An amount equal to property taxes paid on machinery and equipment exempt under RCW 82.08.02565 or 82.12.02565 and acquired after December 1, 2003, multiplied by a fraction. The numerator of the fraction is the total taxable amount subject to the tax imposed under RCW 82.04.260(11) and the denominator of the fraction is the total taxable amount subject to the tax imposed under all manufacturing classifications in chapter 82.04 RCW, required to be reported on the person's returns for the calendar year before the calendar year in which the credit under this section is earned. No credit is available under this subsection (2)(b) if either the numerator or the denominator of the fraction is zero. If the fraction is greater than or equal to nine-tenths, then the fraction is rounded to one. For purposes of this subsection, "returns" means the combined excise tax returns for the calendar year.      (3) For the purposes of this section, "commercial passenger airplane" and "component" have the meanings given in RCW 82.32.550.      (4) A person taking the credit under this section is subject to all the requirements of chapter 82.32 RCW. In addition, the person must report as required under RCW 82.32.545. A credit earned during one calendar year may be carried over to be credited against taxes incurred in a subsequent calendar year, but may not be carried over a second year. No refunds may be granted for credits under this section.      (5) In addition to all other requirements under this title, a person taking the credit under this section must report as required under RCW 82.32.545.      (6) This section expires July 1, 2024. [2006 c 177 § 10; 2005 c 514 § 501; 2003 2nd sp.s. c 1 § 15.] Notes:      Application -- 2006 c 177 § 10: "Section 10 of this act applies with respect to leasehold excise taxes paid on or after January 1, 2007." [2006 c 177 § 11.]      Effective date -- 2005 c 514 §§ 501 and 1002: "Sections 501 and 1002 of this act take effect January 1, 2006." [2005 c 514 § 1305.]      Part headings not law -- Severability -- 2005 c 514: See notes following RCW 82.12.808.      Contingent effective date -- 2003 2nd sp.s. c 1: See RCW 82.32.550.      Finding -- 2003 2nd sp.s. c 1: See note following RCW 82.04.4461.