Wax or ceramic materials used to create molds

From the 2024 DOR Tax Exemption Study

82.08.983; 82.12.983 - Wax or ceramic materials used to create molds Description Sales of wax or ceramic materials used to create molds consumed during the process of creating ferrous and nonferrous investment castings used in industrial applications are exempt from sales and use taxes. Labor and services used to create patterns and shells used as molds also qualify. Purpose To encourage the production of castings in Washington. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $3.033 $2.967 $3.072 $3.168 Local Taxes $1.364 $1.334 $1.381 $1.425 Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $2.719 $3.072 $3.168 Local Taxes $0.000 $1.223 $1.381 $1.425 Assumptions - This repeal takes effect July 1, 2024, and impacts 11 months of collections in fiscal year 2025. - Growth rate mirrors the manufacturing B&O taxable activity growth rate reflected in the Economic and Revenue Forecast Council's March 2023 forecast. - Local revenue estimates use the statewide average local sales and use tax rate of 2.92%. Data Sources - Department of