Grant PUD pursues $266K tax refund

EPHRATA — Grant County PUD commissioners agreed Monday to pursue a roughly $266,000 tax refund from the state Department of Revenue.

The district’s attorney, Mitch Delabarre, requested permission to proceed with legal action because the state indicated it was necessary.

The case is tied to the basic charge refund, which is a privilege tax Washington state utilities pay to do business.

Grays Harbor County PUD and Clark County PUD challenged the legality of the basic charge refund, Delabarre explained.

On Dec. 15, 2009, Division 2 Court of Appeals released a decision favoring taxpayers, according to the state’s Web site.

The court held that basic service charges are not subject to the PUD privilege tax imposed by the RCW (Revised Code of Washington) 54.28.020, because, unlike kilowatt-hour charges, basic service charges “do not fall under the definition of ‘gross revenue’ set forth in RCW 54.28.011,” according to the state.