SF 2046 (LSB 5532SS (2) 88)

SENATE FILE 2046

BY  WHITING

A BILL FOR

An Act exempting the services furnished by executive search agencies and private employment agencies from the state sales and use tax.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 423.2, subsection 6, paragraphs ap and aq, Code 2020, are amended by striking the paragraphs.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill exempts the services furnished by an executive search agency or a private employment agency from the state sales and use tax.
   By operation of Code section 423.6, an item exempt from the imposition of the sales tax is also exempt from the use tax imposed in Code section 423.5.