§12.2 - Real Estate Subject to the Real Estate Excise Tax

• Jurisdiction: Washington

§12.2 REAL ESTATE SUBJECT TO THE REAL ESTATE EXCISE TAX

The real estate excise tax is imposed on each sale of "real estate" in the state of Washington. "Real estate" or "real property" is defined in RCW 82.45.032(1) as

any interest, estate, or beneficial interest in land or anything affixed to land, including the ownership interest or beneficial interest in any entity which itself owns land or anything affixed to land. The term includes used mobile homes, used park model trailers, used floating homes, and improvements constructed upon leased land.

This definition was expanded in WAC 458-61A-102(13) as follows:

"Real estate" or "real property" means any interest, estate, or beneficial interest in land or anything affixed to land, including the ownership interest or beneficial interest in any entity that owns land, or anything affixed to land, including standing timber and crops. The term includes condominiums and individual apartments for which the buyer receives a warranty deed. The term includes used mobile homes, used park model trailers, used floating homes, and improvements constructed upon leased land. The term also includes any part of an irrigation system that is underground or affixed to the land. The term does not include irrigation equipment that is above the ground or that is not affixed to land. See RCW 82.12.020 for the tax treatment of sales of irrigation equipment that is not included in the definition of "real estate."

The statutory and WAC definitions of "real estate" include an ownership interest or beneficial interest in any entity that owns land or anything affixed to land. Accordingly, all references in the statute and regulations to "real estate" and "real property" include partnership and limited...