This bill adds a new property tax exemption called a "spousal survivor's residence" and amends several sections of chapter 84.36 RCW. It creates an exemption for surviving spouses or domestic partners of certain correctional officers, jail officers, and recipients of specified duty-related death benefits, with the exemption applying beginning the year after a claim is filed and continuing thereafter as allowed. The claimant must occupy the residence as their principal residence at filing and may transfer the exemption to a replacement residence but may not claim it on more than one residence in a year. Temporary institutional confinement of the claimant does not disqualify the exemption if the residence is temporarily occupied by certain persons or rented to pay care costs. Ownership forms required at filing include fee simple, life estate, contract purchase, or cooperative-share ownership for co‑ops. The exemption amount is determined by the claimant's "combined disposable income" as defined in RCW 84.36.383, with three income-based tiers that provide different tax relief: the lowest-income tier may be exempt from all excess property taxes, an additional state property tax, and potentially a portion of regular property tax if a local ballot ordinance identifies the exemption; the middle tier provides exemption from regular property taxes on the greater of $50,000 or 35% of residence valuation (capped at $70,000 of valuation); the highest eligible tier provides exemption from regular property taxes on the greater of $60,000 or 60% of residence valuation. For the lowest-income tier there are special valuation rules (base valuation as of January 1 of the assessment year first qualified, rules for requalification and transfers, caps at true and fair value, and exclusion of same-year improvements). The Department of Revenue and county assessors must publicize qualifications and provide application procedures and DOR must offer an electronic filing option; the department will publish adjusted income thresholds beginning August 1, 2023, and every three years thereafter using county median incomes or CPI-U rules with specified rounding and limits. The bill makes several procedural and administrative changes: claims and renewals must include documented income verification under DOR rules; cooperative housing claims must be signed by both the claimant and the cooperative’s authorized agent; a duly authorized agent or guardian may file for an incapable taxpayer. The Director of the Department of Revenue will adopt implementing rules under the Administrative Procedure Act and DOR may audit administration of the exemptions. Confidential income data used for administration is restricted in use and disclosure and unauthorized disclosure is a misdemeanor; signing a false claim with intent to defraud is treated as perjury under chapter 9A.72 RCW. Section 1 of the act applies to taxes levied for collection in 2027 and thereafter. Important specifics are missing from the provided text: the exact dollar amounts or numeric definitions for "income threshold 1," "income threshold 2," and "income threshold 3" are not included here, and the definition of "combined disposable income" is in RCW 84.36.383 which is not provided. The amendment text for RCW 84.36.387 and RCW 84.36.389 appears incomplete in the extracted material, so any additional changes those sections may contain are not available.

If enacted, the law would let surviving spouses or domestic partners of certain correctional, jail, and duty-related law enforcement or firefighter deaths claim a new property tax exemption beginning with taxes collected in 2027. Eligible survivors who meet income tests could face little or no property tax on their primary residence depending on which of three income thresholds they meet; cooperative housing residents, life tenants, and remaindermen would have taxes and payments adjusted to reflect the exemption. County assessors and the Department of Revenue must publish rules, provide forms (including an electronic filing option), verify income (assessors may require documentation by May 31 after filing), run audits, protect confidential income data, and handle renewals and notices; cooperative housing associations must reduce taxes or pay claimants the exemption amount. Practically, this will likely lower housing tax bills for qualifying survivors while increasing administrative work and modest cost pressures for county assessors, the Department of Revenue, and cooperative housing entities to implement, verify, and audit claims; local taxing districts could see some lost property tax revenue depending on uptake. Important implementation details are missing here—specifically the dollar amounts or formulas for the three income thresholds and the definition of “combined disposable income” are not provided in the extracted text, and one amendment section is incomplete—so the exact size of tax relief and revenue impact cannot be determined from these facts alone.