WA HB1614

Replaces the business and occupation tax credit with a capital gains tax credit beginning in tax year 2025, allowing taxpayers to claim a nonrefundable credit against capital gains tax for amounts also subject to B&O tax on the same sale or exchange

Adds new definitions including "intangible personal property," "section 1256 contract," and "tangible personal property," and clarifies treatment of section 1256 contracts and loss carryovers in calculating adjusted capital gain

Requires spouses and state registered domestic partners to be treated as one taxpayer for threshold amounts, caps, deductions, and credits regardless of whether they file joint or separate returns

Creates a late payment penalty waiver for taxpayers who have timely remitted payment on all capital gains tax returns during the preceding five calendar years and have not been contacted by the department for enforcement

Requires brokers and barter exchanges to electronically file copies of IRS Form 1099-B with the Department of Revenue for sales of long-term capital assets allocated to Washington, subject to a $50 penalty per failure