Effective July 1, 2020, Substitute House Bill 2486 amends RCW 82.08.966 to include a sales and use tax exemption for electric vessel marine propulsion systems that use marine batteries and shoreside battery infrastructure.
Effective July 1, 2020 through July 1, 2030, the electric marine exemption includes:
The sale of batteries and battery packs used to exclusively power electric marine propulsion systems or hybrid electric marine propulsion systems with a continuous power greater than fifteen kilowatts.
The sale of labor and services rendered in respect to installing, repairing, altering, or improving qualifying batteries or battery packs.
The sale of new shoreside batteries purchased and installed for the purpose of reducing grid demand when charging electric and hybrid vessels.
The sale of labor and services rendered in respect to installing, repairing, altering, or improving shoreside batteries or shoreside battery infrastructure, including the sale of tangible personal property that will become a component of this infrastructure.
In order to receive the exemption on qualified purchases, buyers must provide the seller a completed Buyer’s Retail Sales Tax Exemption Certificate.
If you are a registered business who is also the buyer, you must complete the Buyer’s Sales and Use Preference Addendum in My DOR when filing your excise tax return.
When reporting such sales on your excise tax return, use deduction, Sales of Batteries / Infrastructure for Electric and Hybrid Vessels.
If you file by paper, you will need to use the Other deduction and write in Sales of Batteries / Infrastructure for Electric and Hybrid Vessels.
For more information: Washington Department of RevenueWashington Department of revenue
june 15, 2020