Text: HSB00499 Text: HSB00501 Text: HSB00500 - HSB00599 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 422.11 LIVESTOCK PRODUCTION TAX 1 2 CREDIT. 1 3 1. a. The taxes imposed under this division, less the 1 4 credits allowed under this division, shall be reduced by a 1 5 state tax credit for livestock production operations located 1 6 in the state. The amount of the credit equals ten cents for 1 7 each bushel of corn or corn equivalents consumed by the 1 8 livestock in the production operation as specified under this 1 9 section. 1 10 b. Corn equivalents are as follows: 1 11 (1) Each bushel of corn equals one corn equivalent. 1 12 (2) Each ton of silage equals nine corn equivalents. 1 13 (3) Each ton of hay equals thirty corn equivalents. 1 14 (4) Each acre of pasture equals fifteen corn equivalents. 1 15 2. The amount of the credit per operation is determined by 1 16 adding together for each head of livestock in the operation 1 17 the product of ten cents times the number of corn equivalents 1 18 consumed by that head of livestock. The amount of credit per 1 19 operation shall not exceed five thousand dollars. 1 20 The maximum amount of corn equivalents for a head of 1 21 livestock in a production operation is the following: 1 22 a. Hog operations: Corn equivalents: 1 23 (1) Farrow to finish 13.0 1 24 (2) Farrow to feeder pig 2.6 1 25 (3) Finishing feeder pigs 10.4 1 26 b. Poultry operations: 1 27 (1) Layers 0.88 1 28 (2) Turkeys 1.5 1 29 (3) Broilers 0.15 1 30 c. Beef operations: 1 31 (1) Cow-calf 101.5 1 32 (2) Stocker 41.5 1 33 (3) Feedlot 75.0 1 34 (4) Dairy 350.0 1 35 3. If the livestock operation is carried on partly within 2 1 and partly without the state, the portion of the operation 2 2 attributable to this state shall be determined pursuant to 2 3 rules adopted by the department. The department may adjust 2 4 the allocation upon request of the taxpayer in order to 2 5 reflect the actual livestock operation carried on within this 2 6 state. 2 7 4. An individual may claim the livestock production tax 2 8 credit allowed a partnership, subchapter S corporation, or 2 9 estate or trust electing to have the income taxed directly to 2 10 the individual. The amount claimed by the individual shall be 2 11 based upon the pro rata share of the individual's earning of 2 12 the partnership, subchapter S corporation, or estate or trust. 2 13 Any credit in excess of the tax liability shall be refunded. 2 14 5. The amount of the livestock production credit per 2 15 taxpayer per tax year shall not exceed five thousand dollars. 2 16 Sec. 2. Section 422.33, Code Supplement 1995, is amended 2 17 by adding the following new subsection: 2 18 NEW SUBSECTION. 9. a. The taxes imposed under this 2 19 division shall be reduced by a state tax credit for livestock 2 20 production operations located in the state. The amount of the 2 21 credit equals ten cents for each bushel of corn or corn 2 22 equivalents consumed by the livestock in the production 2 23 operation as specified under this section. 2 24 b. Corn equivalents are as follows: 2 25 (1) Each bushel of corn equals one corn equivalent. 2 26 (2) Each ton of silage equals nine corn equivalents. 2 27 (3) Each ton of hay equals thirty corn equivalents. 2 28 (4) Each acre of pasture equals fifteen corn equivalents. 2 29 c. The amount of the credit per operation is determined by 2 30 adding together for each head of livestock in the operation 2 31 the product of ten cents times the number of corn equivalents 2 32 consumed by that head of livestock. The amount of credit per 2 33 operation shall not exceed five thousand dollars. 2 34 The maximum amount of corn equivalents for a head of 2 35 livestock in a production operation is the following: 3 1 (1) Hog operations: Corn equivalents: 3 2 (a) Farrow to finish 13.0 3 3 (b) Farrow to feeder pig 2.6 3 4 (c) Finishing feeder pigs 10.4 3 5 (2) Poultry operations: 3 6 (a) Layers 0.88 3 7 (b) Turkeys 1.5 3 8 (c) Broilers 0.15 3 9 (3) Beef operations: 3 10 (a) Cow-calf 101.5 3 11 (b) Stocker 41.5 3 12 (c) Feedlot 75.0 3 13 (d) Dairy 350.0 3 14 d. If the livestock operation is carried on partly within 3 15 and partly without the state, the portion of the operation 3 16 attributable to this state shall be determined pursuant to 3 17 rules adopted by the department. The department may adjust 3 18 the computation upon request of the taxpayer in order to 3 19 reflect the actual livestock operation carried on within this 3 20 state. 3 21 e. Any credit in excess of the tax liability shall be 3 22 refunded. 3 23 f. The amount of the livestock production credit per 3 24 taxpayer per tax year shall not exceed five thousand dollars. 3 25 Sec. 3. Chapters 425A and 426, Code 1995, are repealed. 3 26 Sec. 4. APPLICABILITY. Section 3 of this Act, being 3 27 deemed of immediate importance, takes effect upon enactment 3 28 for family farm tax credit claims and agricultural land tax 3 29 credit claims for property taxes due and payable in fiscal 3 30 years beginning on or after July 1, 1996. 3 31 Sec. 5. RETROACTIVE APPLICABILITY. Sections 1 and 2 of 3 32 this Act apply retroactively to January 1, 1996, for tax years 3 33 beginning on or after that date. 3 34 EXPLANATION 3 35 This bill provides a livestock production tax credit not to 4 1 exceed $5,000 per livestock operation. The credit is based 4 2 upon the amount of corn or corn equivalents used by hog 4 3 operations, beef (including dairy) operations, and poultry 4 4 operations. The amount of the credit is computed by 4 5 multiplying 10 cents times the amount of corn or corn 4 6 equivalents consumed by the livestock in the production 4 7 operation. In addition, a taxpayer may only receive for a tax 4 8 year $5,000 in total credits under the bill. 4 9 The bill also repeals the agricultural land tax credit and 4 10 the family farm tax credit applicable to property taxes due 4 11 and payable in fiscal years beginning on or after July 1, 4 12 1996. 4 13 The sections of the bill relating to the livestock 4 14 production tax credit apply retroactively to January 1, 1996, 4 15 for income tax years beginning on or after that date. 4 16 LSB 3240IC 76 4 17 sc/cf/24
Text: HSB00499 Text: HSB00501 Text: HSB00500 - HSB00599 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
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