This bill amends RCW 84.36.383 to include provisions regarding rental income for individuals eligible for certain property tax exemption programs. Specifically, it introduces a new definition of "combined disposable income" that allows for the inclusion of rental amounts up to $6,000 per year received from renting living space in the person's principal place of residence. The bill clarifies that amounts received from short-term rentals are not included in this exemption and must be reported as income. Additionally, it specifies that the term "rental amount" aligns with the definition provided in RCW 59.18.030.

The act is set to apply to taxes levied for collection in 2027 and thereafter, and it explicitly states that certain existing laws (RCW 82.32.805 and 82.32.808) do not apply to this act. The legislature expresses its intent for this tax preference and its expansion to be permanent, thereby providing ongoing support for individuals who rely on rental income as part of their financial resources while qualifying for property tax exemptions.

Statutes affected:
Original Bill: 84.36.383
Substitute Bill: 84.36.383