This bill amends RCW 82.04.405 to impose a business and occupation tax on state-chartered credit unions that merge with or acquire a commercial bank. Currently, credit unions are exempt from this tax; however, the new provisions specify that starting October 1, 2025, any credit union that merges with or acquires a bank regulated by the department of financial institutions will lose this exemption.

The tax imposed will be calculated based on the gross income of the credit union at a rate of 1.2 percent. This change aims to ensure that credit unions that expand their operations through mergers with commercial banks contribute to the state's tax revenue, aligning their tax obligations more closely with those of other financial institutions.

Statutes affected:
Original Bill: 82.04.405