Bill > HB1769

This bill clarifies the tax treatment of abandoned vehicles sold at auctions by registered tow truck operators. Specifically, the bill modifies existing tax law to specify that when a registered tow truck operator sells an abandoned vehicle at a public auction or to a licensed vehicle wrecker, hulk hauler, or scrap processor, the sale will be considered a sale of tangible personal property rather than a service. The bill requires tow truck operators to collect applicable sales taxes on these vehicle sales and allows them to deduct any surplus proceeds that must be transmitted to the Department of Licensing. The legislation also includes a legislative finding that licensed auto wreckers, scrap processors, and hulk haulers will generally continue to make wholesale purchases of abandoned vehicles without owing sales tax. The bill defines key terms such as "abandoned vehicle" and "registered tow truck operator" by referencing existing definitions in RCW 46.55.010 and is set to take effect on January 1, 2026, providing clarity and consistency in the tax treatment of abandoned vehicle sales.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1769&Year=2025&Initiative=false