(1) The
value of products, including by-products, extracted or
manufactured shall be determined by the gross proceeds derived
from the sale thereof whether such sale is at wholesale or at
retail, to which shall be added all subsidies and bonuses
received from the purchaser or from any other person with respect
to the extraction, manufacture, or sale of such products or
by-products by the seller, except:
(a) Where such products, including by-products, are
extracted or manufactured for commercial or industrial use;
(b) Where such products, including by-products, are shipped,
transported or transferred out of the state, or to another
person, without prior sale or are sold under circumstances such
that the gross proceeds from the sale are not indicative of the
true value of the subject matter of the sale.
(2) In the above cases the value shall correspond as nearly
as possible to the gross proceeds from sales in this state of
similar products of like quality and character, and in similar
quantities by other taxpayers, plus the amount of subsidies or
bonuses ordinarily payable by the purchaser or by any third
person with respect to the extraction, manufacture, or sale of
such products: PROVIDED, That the value of a product
manufactured or produced for purposes of serving as a prototype
for the development of a new or improved product shall
correspond: (a) To the retail selling price of such new or
improved product when first offered for sale; or (b) to the value
of materials incorporated into the prototype in cases in which
the new or improved product is not offered for sale. The
department of revenue shall prescribe uniform and equitable rules
for the purpose of ascertaining such values.
[1983 1st ex.s. c 55 § 3; 1975 1st ex.s. c 278 § 42; 1961 c 15 § 82.04.450. Prior: 1949 c 228 § 3; 1941 c 178 § 4; 1935 c 180 § 7; Rem. Supp. 1949 § 8370-7.]
NOTES:
Effective dates -- 1983 1st ex.s. c 55: See note following RCW 82.08.010.
Construction -- Severability -- 1975 1st ex.s. c 278: See notes following RCW 11.08.160.