Sale of liquefied natural gas to a business operating as a private or common carrier by water in interstate or foreign commerce

From the 2024 DOR Tax Exemption Study

82.08.0261(2,3) - Sale of liquefied natural gas to a business operating as a private or common carrier by water in interstate or foreign commerce Description Businesses operating as a private or common carrier engaged in interstate or foreign commerce by water may receive a sales tax exemption purchasing liquid natural gas (LNG). Use taxes are due on: - LNG consumed in Washington. - 10% of LNG transported outside of Washington. These exemptions expire July 1, 2028. Purpose Provide a lower tax rate on liquefied natural gas that is not consumed in Washington. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes CTI CTI CTI CTI Local Taxes CTI CTI CTI CTI 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 CTI CTI CTI Local Taxes $0.000 CTI CTI CTI Assumptions This exemption impacts fewer than three taxpayers; any impacts are confidential. Data Sources Department of Revenue, Excise tax data Additional Additional Information Information Category: Interstate Commerce Year Enacted: 2014 Primary Beneficiaries: Transportation businesses Tax