Exemption

Homes pending destruction

Leasehold Excise Tax exemption · RCW 82.29A.130(10) · enacted 1976

All exemptions & deductions

Details

Citation
RCW 82.29A.130(10)
Study reference
E1295-1
Tax type
Leasehold Excise Tax
Preference type
Exemption
Category
Other
Year enacted
1976
End date
2034-01-01 00:00:00

Fiscal impact (2024 study estimates)

Revenue if repealed — local ($M)
FY 2024: 0 · FY 2025: I · FY 2026: I · FY 2027: I
Revenue if repealed — state ($M)
FY 2024: 0 · FY 2025: I · FY 2026: I · FY 2027: I
Taxpayer savings — local ($M)
FY 2024: I · FY 2025: I · FY 2026: I · FY 2027: I
Taxpayer savings — state ($M)
FY 2024: I · FY 2025: I · FY 2026: I · FY 2027: I

CTI = confidential taxpayer information · D = unable to disclose

From the 2024 DOR Tax Exemption Study

82.29A.130(10) - Homes pending destruction Description All leasehold interests in month-to-month leases in residential units rented for residential purposes pending destruction or removal to construct a public highway or building are exempt from leasehold tax. Purpose When a private residence is either condemned or purchased outright to make way for a public project, this exemption provides tax relief during the transition period. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes Indeterminate Indeterminate Indeterminate Indeterminate Local Taxes Indeterminate Indeterminate Indeterminate Indeterminate Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 Indeterminate Indeterminate Indeterminate Local Taxes $0.000 Indeterminate Indeterminate Indeterminate Assumptions No data is available to determine if this exemption is being utilized, therefore the impact is indeterminate but assumed to be minimal. Data Sources Department of Revenue, Leasehold excise tax data Additional Additional Information Information Category: Other Year Enac

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