This bill establishes tax credits for small business employers who provide maritime trade educational assistance to their employees working aboard or servicing United States flagged vessels. Specifically, it introduces new sections to chapters 82.04 and 82.16 of the Revised Code of Washington (RCW), allowing a credit equal to 100% of the costs associated with such educational assistance, starting January 1, 2027. The credit is capped at $20,000 per person per calendar year and can be carried forward for up to five years if not fully claimed. Importantly, businesses cannot claim credits under both chapters for the same educational costs, and no application is required to receive the credit, although record-keeping is necessary for verification.

Additionally, the bill includes a tax preference performance statement, which outlines the legislature's intent to provide tax relief for businesses that support maritime education. It sets a public policy objective to reduce tax liability for these businesses and includes a provision for reviewing the effectiveness of the tax preference. If there is a 5% increase in the number of businesses providing educational assistance and any increase in enrollment in maritime trade programs, the legislature intends to consider extending the expiration date of the tax credits, which are set to expire on January 1, 2038, with the entire section expiring on January 1, 2039.