This bill amends RCW 82.04.050 to explicitly classify the rental or lease of individual storage space at self-service storage facilities as a retail transaction for the purposes of business and occupation taxes, as well as sales and use taxes. The new legal language clarifies that, while the rental or lease of real property is generally presumed to be a rental or lease, individual storage space at self-service facilities is treated as a "sale at retail" or "retail sale." This distinction aims to ensure that businesses operating self-service storage facilities are subject to the same tax regulations as other retail transactions.

Additionally, the bill introduces amendments to the definitions related to "sale at retail" or "retail sale," including various recreational sports and services while excluding certain charges for admissions to fairs, carnivals, and educational institutions. It also defines "specified services" to include construction, land clearing, and landscape maintenance. Furthermore, the bill mandates that revenue generated from these changes be allocated to agencies and programs that support cooperatively owned manufactured home communities and affordable housing initiatives, with the act set to take effect on January 1, 2026.