Bill > HB1924

This bill provides a sales and use tax exemption for manufacturing facilities and green manufacturing facilities in Washington state, allowing them to avoid paying sales tax on construction materials, equipment, labor, and services used in facility development. To qualify, manufacturers must apply for an exemption certificate from the state department, which is valid for two years and can only be used for purchases made after the certificate's issuance date. A "green manufacturing facility" is specifically defined as a manufacturing facility certified by a state or national organization that rates sustainability, while a "manufacturing facility" is defined by existing state law. The bill requires recipients to complete an annual tax performance report and allows certificate transfers under certain conditions, such as when an entity acquires the original certificate holder's assets or merges with them. The tax exemptions are limited in time, with no new exemption certificates to be issued after July 1, 2035, and the entire provision expiring on January 1, 2037. The goal appears to be encouraging manufacturing investment and development in Washington by reducing tax burdens for new or expanding manufacturing facilities, with an additional incentive for environmentally sustainable manufacturing processes.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1924&Year=2025&Initiative=false