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Text: HF00407                           Text: HF00409
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House File 408

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 331.427, subsection 1, unnumbered
  1  2 paragraph 1, Code 1997, is amended to read as follows:
  1  3    Except as otherwise provided by state law, county revenues
  1  4 from taxes and other sources for general county services shall
  1  5 be credited to the general fund of the county, including
  1  6 revenues received under sections 101A.3, 101A.7, 123.36,
  1  7 123.143, 142B.6, 176A.8, 321.105, 321.152, 321G.7, 331.554,
  1  8 subsection 6, 341A.20, 364.3, 368.21, 422.65, 422A.2, 428A.8,
  1  9 430A.3, 433.15, 434.19, 445.57, 453A.35, 458A.21, 483A.12,
  1 10 533.24, 556B.1, 567.10, 583.6, 602.8108, 904.908, and 906.17,
  1 11 and chapter 405A, and the following:
  1 12    Sec. 2.  NEW SECTION.  405A.10  FRANCHISE TAX REVENUE
  1 13 ALLOCATION.
  1 14    For the fiscal year beginning July 1, 1997, and each
  1 15 subsequent fiscal year, there is appropriated from the general
  1 16 fund of the state to the department of revenue and finance the
  1 17 sum of eight million eight hundred thousand dollars which
  1 18 shall be paid quarterly on warrants by the director as
  1 19 allocated pursuant to section 422.65.
  1 20    Sec. 3.  Section 421.17, Code 1997, is amended by adding
  1 21 the following new subsection:
  1 22    NEW SUBSECTION.  22A.  To develop, modify, and administer
  1 23 or contract with vendors to develop and administer systems or
  1 24 programs which identify nonfilers of returns or nonpayers of
  1 25 taxes.  Fees for services, reimbursements, or other
  1 26 remuneration paid under contract may be funded from the amount
  1 27 of tax, penalty, interest, or fees actually collected and
  1 28 shall be paid only after the amount is collected.  An amount
  1 29 is appropriated from the amount of tax, penalty, interest, or
  1 30 fees actually collected, not to exceed the amount collected,
  1 31 which is sufficient to pay for services, reimbursement, or
  1 32 other remuneration pursuant to this subsection.  Vendors
  1 33 entering into a contract with the department pursuant to this
  1 34 subsection are subject to the requirements and penalties of
  1 35 the confidentiality laws of this state regarding tax
  2  1 information.
  2  2    Sec. 4.  Section 422.20, subsection 3, unnumbered paragraph
  2  3 1, Code 1997, is amended to read as follows:
  2  4    Unless otherwise expressly permitted by section 421.17,
  2  5 subsections 21, 22, 22A, 23, 25, 29, and 32, sections 252B.9,
  2  6 421.19, 421.28, 422.72, and 452A.63, and this section, a tax
  2  7 return, return information, or investigative or audit
  2  8 information shall not be divulged to any person or entity,
  2  9 other than the taxpayer, the department, or internal revenue
  2 10 service for use in a matter unrelated to tax administration.
  2 11    Sec. 5.  Section 422.65, Code 1997, is amended to read as
  2 12 follows:
  2 13    422.65  ALLOCATION OF REVENUE.
  2 14    All moneys received from the franchise tax shall be
  2 15 deposited in the state general fund.  Commencing with the
  2 16 fiscal year beginning July 1, 1993, there is appropriated for
  2 17 each fiscal year from the franchise tax money received and
  2 18 deposited in the state general fund the sum of eight million
  2 19 eight hundred thousand dollars which shall be paid quarterly
  2 20 on warrants by the director, after certification by the
  2 21 director, Franchise tax moneys appropriated in section 405A.10
  2 22 are allocated as follows:
  2 23    1.  Sixty percent to the general funds of the city from
  2 24 which the tax is collected.
  2 25    2.  Forty percent to the county from which the tax is
  2 26 collected.
  2 27    If the financial institution maintains one or more offices
  2 28 for the transaction of business, other than its principal
  2 29 office, a portion of its franchise tax shall be allocated to
  2 30 each office, based upon a reasonable measure of the business
  2 31 activity of each office.  The director shall prescribe, for
  2 32 each type of financial institution, a method of measuring the
  2 33 business activity of each office.  Financial institutions
  2 34 shall furnish all necessary information for this purpose at
  2 35 the request of the director.
  3  1    Quarterly, the director shall certify to the treasurer of
  3  2 state the amounts to be paid to each city and county from the
  3  3 state general fund.  All moneys received from the franchise
  3  4 tax are appropriated according to the provisions of this
  3  5 section.
  3  6    Sec. 6.  Section 422.72, subsection 3, unnumbered paragraph
  3  7 1, Code 1997, is amended to read as follows:
  3  8    Unless otherwise expressly permitted by section 421.17,
  3  9 subsections 21, 22, 22A, 23, 25, 29, and 32, sections 252B.9,
  3 10 421.19, 421.28, 422.20, and 452A.63, and this section, a tax
  3 11 return, return information, or investigative or audit
  3 12 information shall not be divulged to any person or entity,
  3 13 other than the taxpayer, the department, or internal revenue
  3 14 service for use in a matter unrelated to tax administration.
  3 15    Sec. 7.  EFFECTIVE DATE.  Sections 3, 4, and 6 of this Act,
  3 16 relating to contractual agreements by the department of
  3 17 revenue and finance, being deemed of immediate importance,
  3 18 take effect upon enactment.  
  3 19                           EXPLANATION
  3 20    This bill authorizes the department of revenue and finance
  3 21 to develop a program to identify nonfilers and nonpayers of
  3 22 taxes and to contract for services to carry out the program.
  3 23 The costs of the identification program shall be paid from
  3 24 taxes, penalties, interest, and other fees actually collected.
  3 25 Vendors are required to observe confidentiality requirements
  3 26 regarding tax information obtained from identification of
  3 27 nonfilers and nonpayers of taxes.
  3 28    The bill also appropriates $8.5 million annually from
  3 29 franchise tax revenue in the general fund of the state to be
  3 30 allocated to cities and counties.
  3 31    Sections 3, 4, and 6, relating to contract agreements by
  3 32 the department of revenue and finance, take effect upon
  3 33 enactment.  
  3 34 LSB 2518HH 77
  3 35 tj/jw/5
     
Text: HF00407                           Text: HF00409
Text: HF00400 - HF00499                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index
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