3.28.080 Deductions.
A. The following are deducted from the total gross income upon which the tax is computed:
1. That portion of the gross income derived from charges to another telecommunications company, as defined in RCW 80.04.010, for connecting fees, switching charges, or carrier access charges relating to intrastate toll telephone services, or for access to, or charges for, interstate services.
2. Charges by a taxpayer engaging in a telephone business to a telecommunications company, as defined in RCW 80.04.010, for telephone service that the purchaser buys for the purpose of resale.
3. Adjustments made to a billing or to a customer account or to a telecommunications company accrual account in order to reverse a billing or charge that had been made as a result of third-party fraud or other crime and was not properly a debt of a customer.
B. There shall be allowed, as a deduction as to cellular telephone service, cash discounts and credit losses actually sustained by a taxpayer who keeps their books on an accrual basis.
C. In computing tax, there may be deducted from the total gross income upon which the tax is computed, amounts derived from business which the city is prohibited from taxing under the Constitution or laws of the state of Washington or the Constitution or laws of the United States. (Ord. 3384-14 § 8, 2014.)