The bill amends RCW 82.45.030 to clarify the calculation of the real estate excise tax for the transfer of a controlling interest in an entity that holds real property in Washington State. It defines "selling price" as the true and fair value of the property conveyed, establishing a rebuttable presumption that this value equals the total consideration paid in an arm's length transaction. For transfers of controlling interests in entities, the selling price is determined by multiplying the true and fair value of the real property by the percentage of the controlling interest being transferred. If the true value cannot be reasonably determined, an alternative method for calculating the selling price is provided.

Additionally, the bill specifies that "total consideration paid or contracted to be paid" includes various forms of value exchanged in the sale, while excluding certain amounts related to taxes or relocation assistance. The bill also introduces a new section stating that it will take effect on August 1, 2025.

Statutes affected:
Original Bill: 82.45.030