2. Agricultural employee housing: RCW 82.08.02745 and 82.12.02685 provide retail sales tax and use tax exemptions for the purchase, construction, and use of agricultural employee housing. The exemption is specifically for labor and services used to construct, repair, decorate, or improve new or existing buildings used as agricultural housing, as well as for tangible personal property that becomes an ingredient or component of the buildings or other structures, such as septic tanks, pump houses, and driveways. Examples of ingredients/components include:
- appliances and furniture bolted or strapped directly to the building/structure (i.e., stoves, refrigerators, washers, bed frames, lamps, TVs)
The sales/use tax exemption is available only if the buyer provides the seller with a Farmer’s Retail Sales Tax Exemption Certificate.
Additional qualifying criteria include:
- The building must be used to house “agricultural employees,” as defined in RCW 19.30.010, for a least five consecutive years from the date the building is approved for occupancy.
- If built for year-round employees of the agricultural employer, the building must be built to the current building code for single-family or multifamily dwellings according to the state building code, chapter 19.27 RCW.