Senate File 491 - Introduced SENATE FILE 491 BY DANIELSON A BILL FOR An Act relating to the individual income tax credits for 1 volunteer fire fighters, volunteer emergency medical 2 services personnel members, and reserve peace officers 3 by increasing the amounts of the credits and requesting 4 an interim study related to the credits, and including 5 effective date and retroactive applicability provisions. 6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7 TLSB 2466SS (3) 87 mm/rj

S.F. 491 Section 1. Section 422.12, subsection 2, paragraph c, 1 subparagraph (1), Code 2017, is amended to read as follows: 2 (1) A volunteer fire fighter and volunteer emergency 3 medical services personnel member credit equal to one hundred 4 fifty dollars to compensate the taxpayer for the voluntary 5 services if the volunteer served for the entire tax year. 6 A taxpayer who is a paid employee of an emergency medical 7 services program or a fire department and who is also a 8 volunteer emergency medical services personnel member or 9 volunteer fire fighter in a city, county, or area governed 10 by an agreement pursuant to chapter 28E where the emergency 11 medical services program or fire department performs services, 12 shall qualify for the credit provided under this paragraph “c” . 13 Sec. 2. Section 422.12, subsection 2, paragraph d, 14 subparagraph (1), Code 2017, is amended to read as follows: 15 (1) A reserve peace officer credit equal to one hundred 16 fifty dollars to compensate the taxpayer for services as a 17 reserve peace officer if the reserve peace officer served for 18 the entire tax year. 19 Sec. 3. VOLUNTEER FIRE FIGHTER AND VOLUNTEER EMERGENCY 20 MEDICAL SERVICES PERSONNEL MEMBER TAX CREDIT AND RESERVE 21 PEACE OFFICER TAX CREDIT LEGISLATIVE INTERIM COMMITTEE —— 22 REQUEST. The legislative council is requested to establish a 23 legislative interim committee on the volunteer fire fighter 24 and volunteer emergency medical services personnel member tax 25 credit and the reserve peace officer tax credit for the 2017 26 legislative interim. The legislative interim committee shall 27 identify the personal financial costs incurred by Iowans who 28 act as volunteer fire fighters, volunteer emergency medical 29 services personnel members, or reserve peace officers in 30 this state, shall evaluate the efficacy of the tax credits 31 in mitigating those costs and incentivizing Iowans to serve 32 in these positions, and shall further evaluate and consider 33 whether additional or alternative methods of supporting Iowans 34 in these positions is needed. The interim committee shall 35 -1- LSB 2466SS (3) 87 mm/rj 1/ 2

S.F. 491 submit its findings and recommendations to the general assembly 1 for consideration during the 2018 legislative session. 2 Sec. 4. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 3 immediate importance, takes effect upon enactment. 4 Sec. 5. RETROACTIVE APPLICABILITY. The following provision 5 or provisions of this Act apply retroactively to January 1, 6 2017, for tax years beginning on or after that date: 7 1. The sections of this Act amending section 422.12. 8 EXPLANATION 9 The inclusion of this explanation does not constitute agreement with 10 the explanation’s substance by the members of the general assembly. 11 This bill relates to the individual income tax credits 12 available to volunteer fire fighters, volunteer emergency 13 medical services personnel members, and reserve peace officers. 14 The bill increases to $150 from $100 the maximum amount per 15 individual of the income tax credits for services performed 16 during the year. The tax credit increase applies retroactively 17 to tax years beginning on or after January 1, 2017. 18 The bill also requests the legislative council to establish 19 a legislative interim committee on the tax credits for the 20 2017 legislative interim. The committee shall be tasked with 21 studying financial costs incurred by Iowans who serve as 22 volunteer fire fighters, volunteer emergency medical services 23 personnel members, and reserve peace officers, the efficacy of 24 the tax credits in mitigating those costs and incentivizing 25 Iowans to serve, and whether other methods for supporting 26 Iowans in these positions are needed. The bill requires the 27 legislative interim committee to submit its findings and 28 recommendations to the general assembly for consideration 29 during the 2018 legislative session. 30 The bill takes effect upon enactment. 31 -2- LSB 2466SS (3) 87 mm/rj 2/ 2