Local News

<< Previous   of   Next >>   ADVERTISEMENT   CONTACT THE HERALD Robert Frank, City Editor frank@heraldnet.com   Published: Thursday, December 4, 2008 Tax error could lead to refund for thousands By Bill Sheets Herald writer Thousands of people in Snohomish, King and Pierce counties could receive refunds in the next two months after being wrongly charged taxes on their cars and trucks, according to Sound Transit and state Department of Licensing officials. Sound Transit received more than $3 million in payments from people who live outside the district’s boundaries from June 30, 2005, to July 1, agency spokesman Geoff Patrick said. Motor-vehicle excise taxes were wrongly paid 95,000 times during the three years. Some people might have paid the tax more than once and on more than one vehicle, so it’s uncertain exactly how many taxpayers are involved, he said. The problem occurred because of inadequacies in the state computer system that determines which addresses are inside the district and which ones are outside, said Brad Benfield of the state Department of Licensing. The excise tax is 0.3 percent, or $30 per $10,000 of vehicle value. The average tax payment is slightly less than $30, Patrick said. The tax, which supplements sales taxes to pay for Sound Transit bus and rail operations, is supposed to be paid only by people who live in certain urban areas of Snohomish, King and Pierce counties. The northern boundary of Sound Transit’s district is the northern tip of Everett. A Snohomish woman filed a lawsuit over the issue in King County Superior Court in August. The errors also were brought to the attention of Sound Transit and the licensing department last summer by the state Auditor’s Office following a complaint, Patrick said. Sound Transit officials are working to nail down who has refunds coming to them and is aiming to get the payments sent out within the next two months, Patrick said. Sound Transit and the licensing department also are working to upgrade the computer programs that determines who pays, officials said. Reporter Bill Sheets: 425-339-3439 or sheets@heraldnet.com. READER COMMENTS Be the first to comment. You must be a registered user and verify your e-mail address to post comments to blogs or articles on HeraldNet. To register, click here. To read other terms and conditions, click here. Log out

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