Value of products, how determined

Seattle Mun. Code § 5.30.665

in effect

5.30.665 - Value of products, how determined A. The value of products, including by-products, extracted or manufactured shall be determined by the gross proceeds derived from the sale thereof, whether such sale is at wholesale or at retail, to which shall be added all subsidies and bonuses received from the purchaser or from any other person with respect to the extraction, manufacture, or sale of such products or by-products by the seller. B. Where such products, including by-products, are extracted or manufactured for commercial or industrial use, and where such products, including by-products, are shipped, transported, or transferred out of the City, or to another person, without prior sale or are sold under circumstances such that the gross proceeds from the sale are not indicative of the true value or the subject matter of the sale, the value shall correspond as nearly as possible to the gross proceeds from sales in this state of similar products of like quality and character, and in similar quantities by other taxpayers, plus the amount of subsidies or bonuses ordinarily payable by the purchaser or by any third person with respect to the extraction, manufacture, or sale of such products. In the absence of sales of similar products as a guide to value, such value may be determined upon a cost basis. In such cases, there shall be included every item of cost attributable to the particular article or article extracted or manufactured, including direct and indirect overhead costs. The Director of Finance and Administrative Services may prescribe uniform and equitable rules for the purpose of ascertaining such values. C. Notwithstanding subsection 5.30.665.B, the value of a product manufactured or produced for purposes of serving as a prototype for the development of a new or improved product shall correspond to: 1. The retail selling price of such new or improved product when first offered for sale; or 2. The value of materials incorporated into the prototype in cases in which the new or improved product is not offered for sale. ([Renumbered from 5.30.060.H]; Ord. 125083, § 2, 2016 [numbering update and typographical error correction]; Ord. 123361, § 153, 2010 [department head name change]; Ord. 121679, § 7, 2004; Ord. 120794, § 110, 2002 [department head name change]; Ord. 120668, § 3, 2001.)

Source: City of Seattle, Seattle Municipal Code and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/wa/seattle/codes/municipal_code?nodeId=TIT5REFITA_SUBTITLE_IGERE_CH5.30DE_5.30.665VAPRHODEFetched: 11/1/2026