Bill > HB2398

This bill establishes new tax credits for small businesses in Washington that provide educational assistance to employees working in maritime trades aboard or servicing U.S. flagged vessels, with the goal of supporting the maritime industry. Specifically, it allows businesses to claim a credit for 100% of the costs associated with this educational assistance, which can include tuition, books, and necessary tools, for employees pursuing training in fields like commercial shipping, fishing, or marine engineering. This credit can be applied against business and occupation taxes (under chapter 82.04 RCW) and public utility taxes (under chapter 82.16 RCW), but a business cannot claim the same costs under both tax types. The credit is capped at $20,000 per person per year, and any unused credit can be carried forward for five years. The bill defines "small business" as an entity with 50 or fewer employees and outlines various types of maritime trades and educational institutions that qualify. The ability to earn these credits is set to expire on January 1, 2038, with the sections of the bill themselves expiring a year later. The legislature intends to evaluate the effectiveness of this tax preference by monitoring increases in businesses providing such assistance and enrollment in maritime trade programs, with a potential to extend the credit if certain conditions are met.

Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=2398&Year=2025&Initiative=false