[{"_1":2,"_100":-5,"_101":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6263811,"mediaKeyId","3100375-a1e728b1af5b06d516daaf73bd796661","parentId",3100375,"title","Committee advances bill expanding sales tax base for services, adds cigarette tax amendment; reported out 8–7","audioSeconds",3494,"startMs",361264,"endMs",3855570,"viewUrl","/Search/View?dp=1&key=3100375-a1e728b1af5b06d516daaf73bd796661&start=361&end=3855","thumbnailUrl","https://assets.pipeline.soar.com/3100375-a1e728b1af5b06d516daaf73bd796661/thumbnail_361264.jpg","articleUrl","/articles/6263811/Washington/Committee-advances-bill-expanding-sales-tax-base-for-services-adds-cigarette-tax-amendment-reported-out-87","mediaUrl","https://secure.pipeline.soar.com/6263811-ff70fa6a2cd60bcfb2ab4dba9d1ae53e/orig.mp4?Expires=1776060557&Signature=n~oOt3BlhiViUlqr616NLMUPhCjuXjapZdaYWwSRIVdMDT~wftg7JkAlvcKI414trgMdQOnPtSwGP5wCkpMCRG4wpqHSA21hoG0g10gYPW0nwZ6n9ZyrCrezraKW6m2ATAs91acSwPE8R5i~PVQxiagepkJFdHtbHihdeCI1Of8M8Mt24YbFm7I9FdBRuDtuDEvSXrcWgHomv~Dlmu~6v9Nxx2ntIerlb2c3yeR3B8xJRiub75AHjAdgvXyb7F~k1Egxm3UGkgc3feQSdl~fYog9JVPkfD57EtJ0sWT4f5BeamzowNwU~MiqugV-Se8~V6fHhBY~ycJXXQtXx3S2vw__&Key-Pair-Id=KUT5TJCACFTXG","author","Washington Legislature","date","2025-04-22T00:00:00Z","article","The House Finance Committee on Tuesday reported Engrossed Substitute Senate Bill 58 14 out of committee with a due-pass-as-amended recommendation after adopting a suite of amendments, including an amendment that would impose an additional cigarette tax.

Committee staff described the bill as extending retail sales tax to certain services and digital automated services, making some products containing nicotine subject to other tobacco taxes, imposing an additional tax on cigarettes and including a sales-tax prepayment mechanism. The committee considered a wide range of striking amendments and numerous targeted fixes; several proposed amendments were withdrawn by sponsors in order to continue work between the members and staff.

Representative Parsley (transcript labeled as \"Partially\") — who identified professional experience in medicine during debate — urged adoption of an amendment raising cigarette taxes while also acknowledging the need for a stakeholder process. Parsley said the public-health and financial costs of smoking influenced her support, noting that Washington spends “over $3,200,000,000 a year in health care because of smoking related diseases.” Vice Chair Street and other members stressed continued stakeholder engagement and pledged further work on the bill as it moves forward.

The committee adopted a striking amendment as amended (H-2329.1 as amended) and adopted an amendment (H-2347.1) concerning the additional cigarette tax (members voted to adopt that amendment during executive session). A separate amendment removing the necessity clause (which would allow a referendum) was not adopted. Following debate and multiple roll-call votes, staff announced the final committee vote as 8 ayes, 7 nays and the bill was reported out with a due-pass-as-amended recommendation.

Why it matters: The bill would broaden the sales-tax base to include specified services and impose new or changed taxes on nicotine products and cigarettes. Committee members flagged several intended policy goals (public-health funding, cessation programs, and clear definitions for digital and advertising services) and several concerns (cross-border sales, definition clarity for digital publishing and advertising, and impacts on small businesses and hospitals). Committee leadership emphasized continued negotiations and stakeholder engagement before floor action.

Less critical details: Multiple individual targeted amendments were discussed in committee and several were withdrawn to allow further work. Committee staff directed members to the amendment text for exact sourcing rules, prepayment calculations and transition dates.

Outcome: Engrossed Substitute Senate Bill 58 14 was reported out of the House Finance Committee with a due-pass-as-amended recommendation (8–7); the transcript records staff announcing 8 ayes and 7 nays.","mediaType","Video","parentTitle","House Finance - 4/22/2025 11:30 AM","oneSentenceSummary","The House Finance Committee voted to advance Engrossed Substitute Senate Bill 58 14, which would expand the sales-tax base to some services and digital services and impose new tobacco/cigarette taxes, reporting the bill out of committee 8–7 after adopting a striking amendment and a separate cigarette-tax amendment.","taxTitle","Finance, House of Representatives, Legislative Sessions, Washington","taxId",20261,"location","Washington","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6263816,"Committee advances bill changing capital gains and estate tax timing and structure",2809,214565,3024195,"/Search/View?dp=1&key=3100375-a1e728b1af5b06d516daaf73bd796661&start=214&end=3024","https://assets.pipeline.soar.com/3100375-a1e728b1af5b06d516daaf73bd796661/thumbnail_214565.jpg","/articles/6263816/Washington/Committee-advances-bill-changing-capital-gains-and-estate-tax-timing-and-structure","https://secure.pipeline.soar.com/6263816-eb8ffcc176e923c154244316f3a6ef44/orig.mp4?Expires=1776060557&Signature=KmVDlQrn773rbl33M8FYYHV0lmAUoqbfPLf58mOlHnC1owDeAkKB-wTIh4P6hsOdVJ835UHA8fOZim2X7SFJmEFsaGnQAG7RdCOhZNav~AgMvB~IyZrb7vj14Bj5OVOHZjdzxX8GRGRBA0fQR2nNfr3IjU0HtvCOR904Qnk1SP3JMuHkEXw5G~FalnnRq0sMO10ijywhqJXLe8ySJ8U~bPr5~sax3dMhsmwnPDoUyoJLoTbU1PWA9QZ2UAMC8~rnoGTPRGyvrA8qXdf5R6wXOMepYSYxQOcBYxGkx1WTJ0dS1TDFjws-vc9ZwupKKdT8GCTYdNZPEuiLMPTblbu7Kw__&Key-Pair-Id=KUT5TJCACFTXG","The House Finance Committee voted to report Engrossed Substitute Senate Bill 58 13 out of committee with a due-pass-as-amended recommendation after amendments adjusting effective dates and adding provisions for farms and estate calculations.

Tracy Taylor, committee staff, described the bill as making “changes to the capital gains tax and the estate tax” and summarized multiple amendments. Representative Santos offered amendment H2318.2 to remove retroactivity from estate-tax changes; the adopted amendment made estate-tax changes applicable to estates of decedents dying on or after July 1, 2025, rather than retroactively to January 1, 2025.

Other amendments discussed included H2313.1 (changes to estate tax rate structure), H2315 (indexing Washington taxable estate amounts to the Seattle CPI, which failed), H2314.1 (adding a qualified non-familial heir deduction for farms, which the committee adopted), and H2317.1 (removal of the emergency clause/effective-date language, which was not adopted).

Why it matters: Committee members framed the bill as a means to adjust tax rates and thresholds for capital gains and estate taxes and to protect certain farm transfers. Representative Orcutt warned that higher estate tax rates could create liquidity problems for estates that hold illiquid assets and said he would oppose the bill on final passage. Representative Santos argued the amendment to delay retroactivity was “important” so decedents are not retroactively assessed under law that did not exist at death.

Actions in committee included adoption of H2318.2 (making estate changes prospective to July 1, 2025), adoption of H2314.1 (qualified non-familial heir for farms), rejection of the CPI-indexing amendment H2315.1, rejection of removal of the emergency clause (H-2317.1 as submitted), and the final motion to report SB 58 13 out of committee as amended. The committee roll call on final passage was 10 ayes and 5 nays; staff announced \"there are 10 ayes, 5 nays, 0 excused.\"

The committee did not list floor timing or fiscal note details in the portion of the transcript recorded here; staff repeatedly advised members to consult the amendment text for exact taxable estate amounts and rate brackets.

The bill will proceed from committee as amended for further consideration in the legislative process.","Engrossed Substitute Senate Bill 58 13, which revises capital gains and estate tax provisions, was reported out of the House Finance Committee with amendments including a delay to some estate-tax effective dates; final committee vote was 10-5.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6263820,"House Finance committee advances bill that narrows several B&O and other tax preferences",1901,20455,1922250,"/Search/View?dp=1&key=3100375-a1e728b1af5b06d516daaf73bd796661&start=20&end=1922","https://assets.pipeline.soar.com/3100375-a1e728b1af5b06d516daaf73bd796661/thumbnail_20455.jpg","/articles/6263820/Washington/House-Finance-committee-advances-bill-that-narrows-several-BO-and-other-tax-preferences","https://secure.pipeline.soar.com/6263820-40a85d6603ca108ab22793f004e0db1d/orig.mp4?Expires=1776060557&Signature=eIGSTvLNaZbiUT5BM9Z5KP~dbA63-oIF-28dTJdPUsrK5BUwnDL4LRg3lQtDb5XphNQTzsTwT~73MIayH6cUKPH3J3cK4GU~cL~n605wkBq3yWtGtiO5T0tTYIB2PDUZxwHoGKzvkMuJKbjtAj1fPX8esHrUXlvk3NsY4bpvp3e8jhJAL9bG0S37J8KfRVRhHJE-bJTcTvELWXK0FxagEBtwWLEQrUZIPPw8v4UZKmp8BLmjjatPxq0njJ8pAXfJy2bL-pD89APIPoNJrdE-uMD-eGSBt9lyZIiYAoa-gU0gvvHNJF488sh8SGiQwwg-CQkAeOqrlefYHeLo8zDnsQ__&Key-Pair-Id=KUT5TJCACFTXG","The House Finance Committee on Tuesday voted to report Engrossed Substitute Senate Bill 57 94 out of committee with a due-pass-as-amended recommendation after adopting a striking amendment that alters a range of business-and-occupation (B&O) tax preferences.

The striking amendment (H-2325.1) — described to the committee by staff member Christina King — moves B&O tax rates for gross receipts from individual self-storage rentals into the service and other activities RCW section, clarifies that sale of real estate does not include gross proceeds from individual storage rentals or leases, and restores a number of preferential B&O treatments for specific activities and entities. King told the committee the striker “aligns the business and occupation tax rates on gross receipts derived from the rental of individual self storage units with the business and occupation service and other activities tax rates by placing the storage unit rates into the service and other activities RCW section.”

Why it matters: The striker and the package of proposed amendments would change how a mix of small businesses and specialized activities are taxed — from warehousing and prescription-drug resellers (a restored preferential rate of 0.13% in the striker) to insurance agents (restored 4.84% rate), dentistry prepayment insurance premium exemptions, international investment management services (restored 0.275% rate) and the international banking facilities exemption. Other proposed changes considered by the committee included multiple narrow exemptions and reinstatements affecting credit unions, precious metals dealers, utilities providing low-income discounts, interest-on-real-estate-loan deductions for lenders, and the taxation of self-storage rentals.

Discussion in committee focused on balancing preservation of small local retailers and credit unions against the committee’s broader goal of narrowing tax preferences to bolster state revenue. Representative Orcutt argued for maintaining exemptions for state-chartered credit unions and other narrow preferences, saying the exemptions help preserve financial services in small communities. Representative Wallen and others urged caution about expanding exemptions because of revenue and fairness concerns. Representative Chase defended preserving exemptions for precious-metals dealers, describing that clientele as “people we can’t see, but they all live in our communities.”

Several amendment motions were offered and voted on during the executive action. Multiple narrow amendments restoring specific preferences were not adopted in committee, but the committee did adopt the striking amendment package overall and then voted to report the bill out of committee as amended. The committee’s roll call on the final motion to report SB 57 94 (as amended) recorded 10 ayes and 5 nays; staff announced \"there are 10 ayes, 5 nays, 0 excused.\" Representative Berg, Representative Street, Representative Mena, Representative Partially, Representative Rammell, Representative Santos, Representative Scott, Representative Wallen, Representative Wiley and one other recorded aye votes; Representative Orcutt, Representative Jacobson, Representative Abel, Representative Chase and Representative Penner recorded nays on the final motion as announced by staff.

The committee chair closed by noting the bill was reported with a due-pass-as-amended recommendation; no further committee requirements were listed in the transcript.

Less urgent details: The striking amendment contains multiple numerical rates and exemptions described to the committee; where the transcript did not supply a precise RCW citation or legislative section number for each restored preference, committee staff directed members to the amendment text for the exact statutory language.

Votes at a glance: Engrossed Substitute Senate Bill 57 94 — reported out of committee with a due-pass-as-amended recommendation (vote: 10 ayes, 5 nays).","The House Finance Committee voted to report Engrossed Substitute Senate Bill 57 94 out of committee with a due-pass-as-amended recommendation after adopting a striking amendment that removes or modifies several business-and-occupation (B&O) and other tax preferences; final committee vote was 10-5.","actionData","errors"]

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Committee advances bill expanding sales tax base for services, adds cigarette tax amendment; reported out 8–7

Committee advances bill changing capital gains and estate tax timing and structure

House Finance committee advances bill that narrows several B&O and other tax preferences