Senate File 178 - Introduced SENATE FILE BY RIELLY, SENG, and WOOD (COMPANION TO LSB 2374HH BY HUSER) Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the disposition of certain real estate 2 transfer tax receipts by the treasurer of state. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2374SS 82 5 tm/es/88 PAG LIN 1 1 Section 1. Section 428A.8, Code 2007, is amended to read 1 2 as follows: 1 3 428A.8 REMITTANCE TO STATE TREASURER == PORTION RETAINED 1 4 IN COUNTY. 1 5 1. On or before the tenth day of each month the county 1 6 recorder shall determine and pay to the treasurer of state 1 7 eighty=two and three=fourths percent of the receipts from the 1 8 real estate transfer tax collected during the preceding month 1 9 and the treasurer of state shall depositninety=five percent 1 10 of the receipts in the general fund of the stateand transfer 1 11five percent ofthe receiptsto the shelter assistance fund 1 12 created in section 15.349as provided in subsection 2. 1 13 The county recorder shall deposit the remaining seventeen 1 14 and one=fourth percent of the receipts in the county general 1 15 fund. 1 16 Any tax or additional tax found to be due shall be 1 17 collected by the county recorder. If the county recorder is 1 18 unable to collect the tax, the director of revenue shall 1 19 collect the tax in the same manner as taxes are collected in 1 20 chapter 422, division III. If collected by the director of 1 21 revenue, the director shall pay the county its proportionate 1 22 share of the tax. Section 422.25, subsections 1, 2, 3, and 4, 1 23 and sections 422.26, 422.28 through 422.30, and 422.73, 1 24 consistent with this chapter, apply with respect to the 1 25 collection of any tax or additional tax found to be due, in 1 26 the same manner and with the same effect as if the deed, 1 27 instrument, or writing were an income tax return within the 1 28 meaning of those statutes. 1 29 The county recorder shall keep records and make reports 1 30 with respect to the real estate transfer tax as the director 1 31 of revenue prescribes. 1 32 2. The treasurer of state shall deposit or transfer the 1 33 receipts paid the treasurer of state pursuant to subsection 1 1 34 to either the general fund of the state, the housing trust 1 35 fund created in section 16.181, or the shelter assistance fund 2 1 created in section 15.349 as follows: 2 2 a. For the fiscal year beginning July 1, 2007, ninety= 2 3 five percent of the receipts shall be deposited in the general 2 4 fund and five percent of the receipts shall be transferred to 2 5 the shelter assistance fund. 2 6 b. For the fiscal year beginning July 1, 2008, ninety= 2 7 five percent of the receipts, less one million dollars which 2 8 shall be transferred to the housing trust fund, shall be 2 9 deposited in the general fund and five percent of the receipts 2 10 shall be transferred to the shelter assistance fund. 2 11 c. For the fiscal year beginning July 1, 2009, ninety= 2 12 five percent of the receipts, less two million dollars which 2 13 shall be transferred to the housing trust fund, shall be 2 14 deposited in the general fund and five percent of the receipts 2 15 shall be transferred to the shelter assistance fund. 2 16 d. For the fiscal year beginning July 1, 2010, seventy 2 17 percent of the receipts shall be deposited in the general 2 18 fund, twenty=five percent of the receipts shall be transferred 2 19 to the housing trust fund, and five percent of the receipts 2 20 shall be transferred to the shelter assistance fund. 2 21 e. For the fiscal year beginning July 1, 2011, sixty=five 2 22 percent of the receipts shall be deposited in the general 2 23 fund, thirty percent of the receipts shall be transferred to 2 24 the housing trust fund, and five percent of the receipts shall 2 25 be transferred to the shelter assistance fund. 2 26 f. For the fiscal year beginning July 1, 2012, sixty 2 27 percent of the receipts shall be deposited in the general 2 28 fund, thirty=five percent of the receipts shall be transferred 2 29 to the housing trust fund, and five percent of the receipts 2 30 shall be transferred to the shelter assistance fund. 2 31 g. For the fiscal year beginning July 1, 2013, fifty=five 2 32 percent of the receipts shall be deposited in the general 2 33 fund, forty percent of the receipts shall be transferred to 2 34 the housing trust fund, and five percent of the receipts shall 2 35 be transferred to the shelter assistance fund. 3 1 h. For the fiscal year beginning July 1, 2014, and each 3 2 fiscal year thereafter, fifty percent of the receipts shall be 3 3 deposited in the general fund, forty=five percent of the 3 4 receipts shall be transferred to the housing trust fund, and 3 5 five percent of the receipts shall be transferred to the 3 6 shelter assistance fund. 3 7 EXPLANATION 3 8 This bill relates to the disposition of certain real estate 3 9 transfer tax receipts by the treasurer of state. 3 10 Currently, when there is consideration and the actual 3 11 market value of the real property transferred is in excess of 3 12 $500, the tax is 80 cents for each $500 or fractional part of 3 13 $500 in excess of $500. On or before the 10th day of each 3 14 month, the county recorder determines and pays to the 3 15 treasurer of state 82.75 percent of the receipts from the real 3 16 estate transfer tax collected during the preceding month and 3 17 the treasurer of state deposits 95 percent of the receipts in 3 18 the general fund of the state and transfers 5 percent of the 3 19 receipts to the shelter assistance fund. 3 20 The bill modifies the use of the receipts that are paid to 3 21 the treasurer of state each month. For FY 2008=2009, 95 3 22 percent of the receipts, less $1 million which is transferred 3 23 to the housing trust fund, is deposited in the general fund. 3 24 For FY 2009=2010, 95 percent of the receipts, less $2 million 3 25 which is transferred to the housing trust fund, is deposited 3 26 in the general fund. For FY 2010=2011, the bill reduces the 3 27 percentage of receipts deposited in the general fund to 70 3 28 percent and the percentage is reduced each fiscal year 3 29 thereafter by 5 percent. By FY 2014=2015, and each fiscal 3 30 year thereafter, 50 percent of the receipts received by the 3 31 treasurer of state shall be deposited in the general fund. 3 32 For FY 2010=2011, the bill increases the percentage of 3 33 receipts transferred to the housing trust fund to 25 percent 3 34 and the percentage is increased each fiscal year thereafter by 3 35 5 percent. By FY 2014=2015, and each fiscal year thereafter, 4 1 45 percent of the receipts received by the treasurer of state 4 2 shall be transferred to the housing trust fund. The bill does 4 3 not modify the percentage of receipts being transferred to the 4 4 shelter assistance fund. 4 5 LSB 2374SS 82 4 6 tm:nh/es/88