(1) A use tax is levied on every person in
this state for the privilege of using natural gas or manufactured
gas within this state as a consumer.
(2) The tax must be levied and collected in an amount equal
to the value of the article used by the taxpayer multiplied by
the rate in effect for the public utility tax on gas distribution
businesses under RCW 82.16.020. The "value of the article used"
does not include any amounts that are paid for the hire or use of
a gas distribution business as defined in RCW 82.16.010(2) in
transporting the gas subject to tax under this subsection if
those amounts are subject to tax under that chapter.
(3) The tax levied in this section does not apply to the use
of natural or manufactured gas delivered to the consumer by other
means than through a pipeline.
(4) The tax levied in this section does not apply to the use
of natural or manufactured gas if the person who sold the gas to
the consumer has paid a tax under RCW 82.16.020 with respect to
the gas for which exemption is sought under this subsection.
(5)(a) The tax levied in this section does not apply to the
use of natural or manufactured gas by an aluminum smelter as that
term is defined in RCW 82.04.217 before January 1, 2017.
(b) A person claiming the exemption provided in this
subsection (5) must file a complete annual report with the
department under RCW 82.32.534.
(6) There is a credit against the tax levied under this
section in an amount equal to any tax paid by:
(a) The person who sold the gas to the consumer when that
tax is a gross receipts tax similar to that imposed pursuant to
RCW 82.16.020 by another state with respect to the gas for which
a credit is sought under this subsection; or
(b) The person consuming the gas upon which a use tax
similar to the tax imposed by this section was paid to another
state with respect to the gas for which a credit is sought under
this subsection.
(7) The use tax imposed in this section must be paid by the
consumer to the department.
(8) There is imposed a reporting requirement on the person
who delivered the gas to the consumer to make a quarterly report
to the department. Such report must contain the volume of gas
delivered, name of the consumer to whom delivered, and such other
information as the department may require by rule.
(9) The department may adopt rules under chapter 34.05 RCW
for the administration and enforcement of sections 1 through 6,
chapter 384, Laws of 1989.
[2011 c 174 § 304. Prior: 2010 1st sp.s. c 2 § 5; 2010 c 114 § 127; 2006 c 182 § 5; 2004 c 24 § 12; 1994 c 124 § 9; 1989 c 384 § 3.]
NOTES:
Application -- Finding -- Intent -- 2010 c 114: See notes following RCW 82.32.585.
Intent -- Effective date -- 2004 c 24: See notes following RCW 82.04.2909.
Intent -- 1989 c 384: "Due to a change in the federal regulations governing the sale of brokered natural gas, cities have lost significant revenues from the utility tax on natural gas. It is therefore the intent of the legislature to adjust the utility and use tax authority of the state and cities to maintain this revenue source for the municipalities and provide equality of taxation between intrastate and interstate transactions." [1989 c 384 § 1.]
Effective date -- 1989 c 384: "This act shall take effect July 1, 1990." [1989 c 384 § 7.]