The bill amends the working families' tax credit program in Washington State to clarify qualification requirements, extend the application period for refunds to three years, and mandate a biennial report from the Department of Revenue. Key changes include redefining "eligible low-income person" to include individuals who file federal tax returns using an Individual Taxpayer Identification Number (ITIN) or those who file as married filing separately. The bill also establishes specific refund amounts based on the number of qualifying children and outlines a process for adjusting these amounts for inflation starting in 2024.

Additionally, the bill requires the Department of Revenue to assess the implementation of the tax credit and submit a report to the legislature within 18 months, followed by biennial reports that include demographic data. The act is set to take effect on January 1, 2024, and includes a provision for expiration if specific funding is not provided by June 30, 2023. The legislation aims to enhance financial relief for low-income and middle-income families by allowing them to recover sales taxes paid, thereby improving their economic security.

Statutes affected:
Original Bill: 82.08.02061
Substitute Bill: 82.08.02061
Second Substitute: 82.08.02061
Bill as Passed Legislature: 82.08.02061
Session Law: 82.08.02061