WAC 243

LITTER TAX REPORTING BY FAST FOOD RESTAURANTS Repealed 6/30/2000 - This document explains that the provisions of ETB (now ETA) 445 applies to fast food establishments. It further states that in the absence of specific records, auditors should consult with the taxpayer to determine a reasonable percentage of food products that are subject to the litter tax. This document is no longer needed.

Private Mailing Business Tax Guide

Application to certain products.

Litter tax.Updated 08/23/06

LITTER TAX ON FOOD AND BEVERAGES - These documents provide tax-reporting information regarding the internal distributions B&O tax, which was repealed effective July 1, 1998. This information is no longer needed and the documents are being cancelled in conjunction with the repeal of WAC 458-20-231 (Tax on internal distributions) Cancelled effective 5/19/03

Reminder of Litter Tax Change - Litter Tax Due Each Return

Litter Tax Exemptions for Prepared Food and Beverages

Advertising Income from Electronic Version of Printed Newspaper Now Taxed under Printing and Publishing Classification

B&O Tax Rate Lowered Printing and/or Publishing of Newspapers

B&O Tax Rate Lowered Printing and/or Publishing of Newspapers

Printers and Publishers of Newspapers: B&O Tax Changes and Definitions

SALES OF SHELLFISH. Even though shellfish may be biodegradable, their sales lead to litter tax liability because they are food for human consumption. Food for human consumption is a category specifically named by the legislature as being subject to the litter tax.

LITTER TAX -- OUT-OF-STATE WHOLESALER. The litter tax applies to manufacturers, wholesalers, and retailers. The tax is imposed on the successive sales of the same goods from the manufacturer to the wholesaler then to retailer then to the consumer. Accord:Det. No. 88-386, 6 WT. 459 (1988).

LITTER TAX -- OUT-OF-STATE WHOLESALER -- NEXUS. An out-of-state wholesaler who has nexus with Washington need not have a place of business in this state before the litter tax applies.

LITTER TAX -- DROP SHIPMENTS. The imposition of the litter tax is not dependent upon actual physical possession of the taxable product. Therefore, a wholesaler who orders products drop shipped to its customer is subject to the litter tax.

LITTER TAX -- EXEMPTION -- CLEANING AGENTS. If a product sold or manufactured fits one of the thirteen categories subject to litter tax, it will not be exempted from the tax for the reason that it is sold in recyclable containers.

LITTER TAX BUSINESS PAPER PRODUCTS. Paper products manufactured for use in a business environment, and which are not household paper products intended for use in the home,are not subject to the litter tax.

LITTER TAX -- FOOD PRODUCTS. Sales by Washington outlets of food products, carbonated beverages and containers are subject to the litter tax. Mail order sales of food products which are subject to the BO tax are also subject to the litter tax.

LITTER TAX -- EXEMPTION -- BULK AGRICULTURAL PRODUCTS. If a product sold or manufactured fits one of the thirteen categories subject to litter tax, it will not be exempted from the tax for the reason that it is sold or transferred in unpackaged, bulk form.

LITTER TAX -- EXEMPTION -- SEEDS -- FERTILIZER. Seeds sold for direct ingestion by pets or humans are subject to litter tax. Seeds sold for growing purposes are exempt unless they qualify as groceries or nondrug drugstore sundry products. Fertilizer is exempt unless it qualifies as groceries or nondrug drugstore sundry products.

LITTER TAX -- PERIODICALS -- BOOKS. The legislature, in enacting the Model Litter Control Act, specifically considered the question of the application of the litter tax to reading materials. Such tax is imposed on "newspapers and magazines", which are periodical, and therefore not subject to the tax.

LITTER TAX -- FOOD FOR HUMAN CONSUMPTION -- FORM -- INGREDIENTS. There is no requirement that food be in ready-to-eat or retail-packaged form to be subject to the litter tax. The tax is imposed on all "food for human consumption."

LITTER TAX -- CLEANING AGENTS/SOLVENTS. Any cleaning agent that is used to clean persons, places buildings, animal, or other things is subject to the litter tax.

LITTER TAX -- RECORDS -- CLEANING AGENTS/SOLVENTS -- INGREDIENTS. The litter tax is imposed on all cleaning agents. Once it has been determined that an item sold is a cleaning agent, the burden is on the taxpayer to provide the records to show that an incorrect determination has been made.

LITTER TAX -- CONTAINERS -- SALE WITH PRODUCT OR SALE FOR REPEATED USE. The litter tax does not apply to the sale of containers for repeated household use. The litter tax applies to the sale of containers that are sold with products otherwise subject to the litter tax and/or containers not sold for repeated use.

LITTER TAX -- EXEMPTION -- NON-TAXABLE PRODUCTS -- SEGREGATION OF. A taxpayer claiming that certain of its Washington sales are exempt of litter tax must prove it with records which segregate the sales claimed as exempt from the ones which are not exempt.

LITTER TAX -- EXEMPTION -- SALES OF BREWED COFFEE -- INDOOR CONSUMPTION -- ETB 445.04.243. Sales of brewed coffee by retailers solely for consumption indoors on the seller's premises are exempt from the annual litter tax. ETB 445.84.243. Wholesale and retail sales of coffee as a grocery item are subject to the litter tax.

LITTER TAX -- INGREDIENT USED IN FOOD PROCESSING -- MANNER OF DELIVERY OF INGREDIENT NOT CONTROLLING. Litter tax applies to sales of ingredients used in processing food for human consumption, even though the ingredients are delivered to the food processors by bulk rail car or bulk tank truck.