RCW 82.32.330
Disclosure of return or tax information.
(1)
For purposes of this section:
(a) "Disclose" means to make known to any person in any
manner whatever a return or tax information;
(b) "Return" means a tax or information return or claim for
refund required by, or provided for or permitted under, the laws
of this state which is filed with the department of revenue by,
on behalf of, or with respect to a person, and any amendment or
supplement thereto, including supporting schedules, attachments,
or lists that are supplemental to, or part of, the return so
filed;
(c) "Tax information" means (i) a taxpayer's identity, (ii)
the nature, source, or amount of the taxpayer's income, payments,
receipts, deductions, exemptions, credits, assets, liabilities,
net worth, tax liability deficiencies, overassessments, or tax
payments, whether taken from the taxpayer's books and records or
any other source, (iii) whether the taxpayer's return was, is
being, or will be examined or subject to other investigation or
processing, (iv) a part of a written determination that is not
designated as a precedent and disclosed pursuant to RCW 82.32.410, or a background file document relating to a written
determination, and (v) other data received by, recorded by,
prepared by, furnished to, or collected by the department of
revenue with respect to the determination of the existence, or
possible existence, of liability, or the amount thereof, of a
person under the laws of this state for a tax, penalty, interest,
fine, forfeiture, or other imposition, or offense: PROVIDED,
That data, material, or documents that do not disclose
information related to a specific or identifiable taxpayer do not
constitute tax information under this section. Except as
provided by RCW 82.32.410, nothing in this chapter shall require
any person possessing data, material, or documents made
confidential and privileged by this section to delete information
from such data, material, or documents so as to permit its
disclosure;
(d) "State agency" means every Washington state office,
department, division, bureau, board, commission, or other state
agency;
(e) "Taxpayer identity" means the taxpayer's name, address,
telephone number, registration number, or any combination
thereof, or any other information disclosing the identity of the
taxpayer; and
(f) "Department" means the department of revenue or its
officer, agent, employee, or representative.
(2) Returns and tax information shall be confidential and
privileged, and except as authorized by this section, neither the
department of revenue nor any other person may disclose any
return or tax information.
(3) This section does not prohibit the department of revenue
from:
(a) Disclosing such return or tax information in a civil or
criminal judicial proceeding or an administrative proceeding:
(i) In respect of any tax imposed under the laws of this
state if the taxpayer or its officer or other person liable under
Title 82 RCW is a party in the proceeding; or
(ii) In which the taxpayer about whom such return or tax
information is sought and another state agency are adverse
parties in the proceeding;
(b) Disclosing, subject to such requirements and conditions
as the director shall prescribe by rules adopted pursuant to
chapter 34.05 RCW, such return or tax information regarding a
taxpayer to such taxpayer or to such person or persons as that
taxpayer may designate in a request for, or consent to, such
disclosure, or to any other person, at the taxpayer's request, to
the extent necessary to comply with a request for information or
assistance made by the taxpayer to such other person: PROVIDED,
That tax information not received from the taxpayer shall not be
so disclosed if the director determines that such disclosure
would compromise any investigation or litigation by any federal,
state, or local government agency in connection with the civil or
criminal liability of the taxpayer or another person, or that
such disclosure would identify a confidential informant, or that
such disclosure is contrary to any agreement entered into by the
department that provides for the reciprocal exchange of
information with other government agencies which agreement
requires confidentiality with respect to such information unless
such information is required to be disclosed to the taxpayer by
the order of any court;
(c) Disclosing the name of a taxpayer with a deficiency
greater than five thousand dollars and against whom a warrant
under RCW 82.32.210 has been either issued or filed and remains
outstanding for a period of at least ten working days. The
department shall not be required to disclose any information
under this subsection if a taxpayer: (i) Has been issued a tax
assessment; (ii) has been issued a warrant that has not been
filed; and (iii) has entered a deferred payment arrangement with
the department of revenue and is making payments upon such
deficiency that will fully satisfy the indebtedness within twelve
months;
(d) Disclosing the name of a taxpayer with a deficiency
greater than five thousand dollars and against whom a warrant
under RCW 82.32.210 has been filed with a court of record and
remains outstanding;
(e) Publishing statistics so classified as to prevent the
identification of particular returns or reports or items thereof;
(f) Disclosing such return or tax information, for official
purposes only, to the governor or attorney general, or to any
state agency, or to any committee or subcommittee of the
legislature dealing with matters of taxation, revenue, trade,
commerce, the control of industry or the professions;
(g) Permitting the department of revenue's records to be
audited and examined by the proper state officer, his or her
agents and employees;
(h) Disclosing any such return or tax information to a peace
officer as defined in RCW 9A.04.110 or county prosecuting
attorney, for official purposes. The disclosure may be made only
in response to a search warrant, subpoena, or other court order,
unless the disclosure is for the purpose of criminal tax
enforcement. A peace officer or county prosecuting attorney who
receives the return or tax information may disclose that return
or tax information only for use in the investigation and a
related court proceeding, or in the court proceeding for which
the return or tax information originally was sought;
(i) Disclosing any such return or tax information to the
proper officer of the internal revenue service of the United
States, the Canadian government or provincial governments of
Canada, or to the proper officer of the tax department of any
state or city or town or county, for official purposes, but only
if the statutes of the United States, Canada or its provincial
governments, or of such other state or city or town or county, as
the case may be, grants substantially similar privileges to the
proper officers of this state;
(j) Disclosing any such return or tax information to the
Department of Justice, including the Bureau of Alcohol, Tobacco,
Firearms and Explosives within the Department of Justice, the
Department of Defense, the Immigration and Customs Enforcement
and the Customs and Border Protection agencies of the United
States Department of Homeland Security, the Coast Guard of the
United States, and the United States Department of
Transportation, or any authorized representative thereof, for
official purposes;
(k) Publishing or otherwise disclosing the text of a written
determination designated by the director as a precedent pursuant
to RCW 82.32.410;
(l) Disclosing, in a manner that is not associated with
other tax information, the taxpayer name, entity type, business
address, mailing address, revenue tax registration numbers, North
American industry classification system or standard industrial
classification code of a taxpayer, and the dates of opening and
closing of business. This subsection shall not be construed as
giving authority to the department to give, sell, or provide
access to any list of taxpayers for any commercial purpose;
(m) Disclosing such return or tax information that is also
maintained by another Washington state or local governmental
agency as a public record available for inspection and copying
under the provisions of chapter 42.56 RCW or is a document
maintained by a court of record not otherwise prohibited from
disclosure;
(n) Disclosing such return or tax information to the United
States department of agriculture for the limited purpose of
investigating food stamp fraud by retailers;
(o) Disclosing to a financial institution, escrow company,
or title company, in connection with specific real property that
is the subject of a real estate transaction, current amounts due
the department for a filed tax warrant, judgment, or lien against
the real property;
(p) Disclosing to a person against whom the department has
asserted liability as a successor under RCW 82.32.140 return or
tax information pertaining to the specific business of the
taxpayer to which the person has succeeded;
(q) Disclosing such return or tax information in the
possession of the department relating to the administration or
enforcement of the real estate excise tax imposed under chapter 82.45 RCW, including information regarding transactions exempt or
otherwise not subject to tax; or
(r) Disclosing to local taxing jurisdictions the identity of
sellers granted relief under RCW 82.32.430(5)(b)(i) and the
period for which relief is granted.
(4)(a) The department may disclose return or taxpayer
information to a person under investigation or during any court
or administrative proceeding against a person under investigation
as provided in this subsection (4). The disclosure must be in
connection with the department's official duties relating to an
audit, collection activity, or a civil or criminal investigation.
The disclosure may occur only when the person under investigation
and the person in possession of data, materials, or documents are
parties to the return or tax information to be disclosed. The
department may disclose return or tax information such as
invoices, contracts, bills, statements, resale or exemption
certificates, or checks. However, the department may not
disclose general ledgers, sales or cash receipt journals, check
registers, accounts receivable/payable ledgers, general journals,
financial statements, expert's workpapers, income tax returns,
state tax returns, tax return workpapers, or other similar data,
materials, or documents.
(b) Before disclosure of any tax return or tax information
under this subsection (4), the department shall, through written
correspondence, inform the person in possession of the data,
materials, or documents to be disclosed. The correspondence
shall clearly identify the data, materials, or documents to be
disclosed. The department may not disclose any tax return or tax
information under this subsection (4) until the time period
allowed in (c) of this subsection has expired or until the court
has ruled on any challenge brought under (c) of this subsection.
(c) The person in possession of the data, materials, or
documents to be disclosed by the department has twenty days from
the receipt of the written request required under (b) of this
subsection to petition the superior court of the county in which
the petitioner resides for injunctive relief. The court shall
limit or deny the request of the department if the court
determines that:
(i) The data, materials, or documents sought for disclosure
are cumulative or duplicative, or are obtainable from some other
source that is more convenient, less burdensome, or less
expensive;
(ii) The production of the data, materials, or documents
sought would be unduly burdensome or expensive, taking into
account the needs of the department, the amount in controversy,
limitations on the petitioner's resources, and the importance of
the issues at stake; or
(iii) The data, materials, or documents sought for
disclosure contain trade secret information that, if disclosed,
could harm the petitioner.
(d) The department shall reimburse reasonable expenses for
the production of data, materials, or documents incurred by the
person in possession of the data, materials, or documents to be
disclosed.
(e) Requesting information under (b) of this subsection that
may indicate that a taxpayer is under investigation does not
constitute a disclosure of tax return or tax information under
this section.
(5) Any person acquiring knowledge of any return or tax
information in the course of his or her employment with the
department of revenue and any person acquiring knowledge of any
return or tax information as provided under subsection (3)(f),
(g), (h), (i), (j), or (n) of this section, who discloses any
such return or tax information to another person not entitled to
knowledge of such return or tax information under the provisions
of this section, is guilty of a misdemeanor. If the person
guilty of such violation is an officer or employee of the state,
such person shall forfeit such office or employment and shall be
incapable of holding any public office or employment in this
state for a period of two years thereafter.
[2008 c 81 § 11; 2007 c 6 § 1502; 2006 c 177 § 7. Prior: 2005 c 326 § 1; 2005 c 274 § 361; prior: 2000 c 173 § 1; 2000 c 106 § 1; 1998 c 234 § 1; 1996 c 184 § 5; 1995 c 197 § 1; 1991 c 330 § 1; 1990 c 67 § 1; 1985 c 414 § 9; 1984 c 138 § 12; 1969 ex.s. c 104 § 1; 1963 ex.s. c 28 § 10; 1961 c 15 § 82.32.330; prior: 1943 c 156 § 12; 1935 c 180 § 210; Rem. Supp. 1943 § 8370-210.]
NOTES:
Findings -- Savings -- Effective date -- 2008 c 81: See notes following RCW 82.08.975.
Part headings not law -- Savings -- Effective date -- Severability -- 2007 c 6: See notes following RCW 82.32.020.
Findings -- Intent -- 2007 c 6: See note following RCW 82.14.495.
Effective date -- 2006 c 177 §§ 1-9: See note following RCW 82.04.250.
Part headings not law -- Effective date -- 2005 c 274: See RCW 42.56.901 and 42.56.902.
Effective date -- 2000 c 173: "This act takes effect July 1, 2000." [2000 c 173 § 2.]
Effective date -- 2000 c 106: "This act takes effect July 1, 2000." [2000 c 106 § 13.]
Effective date -- 1996 c 184: See note following RCW 46.16.010.
Effective date -- 1995 c 197: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995." [1995 c 197 § 2.]