Text: HF02550 Text: HF02552 Text: HF02500 - HF02599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. Section 422.4, Code Supplement 1997, is amended
1 2 by adding the following new subsection:
1 3 NEW SUBSECTION. 15A. "Small business" means any
1 4 corporation, partnership, sole proprietorship, or other
1 5 business entity qualifying as "small" under the standards
1 6 contained in the Code of Federal Regulations, Title 13, part
1 7 121.
1 8 Sec. 2. NEW SECTION. 422.12F SMALL BUSINESS TAX CREDIT.
1 9 A small business operating within the state is entitled to
1 10 claim a small business tax credit against the taxes imposed
1 11 under this division equal to any amount paid to the United
1 12 States small business administration as a guaranty fee in
1 13 order to obtain small business administration guaranteed
1 14 financing. The credit shall be applicable only to the tax
1 15 year in which the guaranty fee was paid and shall be claimed
1 16 only by the small business which is the primary obligor in the
1 17 financing transaction and which actually paid the guaranty
1 18 fee. Any credit in excess of the tax liability is
1 19 nonrefundable and shall not be carried back or forward.
1 20 Sec. 3. Section 422.32, Code Supplement 1997, is amended
1 21 by adding the following new subsection:
1 22 NEW SUBSECTION. 7A. "Small business" means any
1 23 corporation, partnership, sole proprietorship, or other
1 24 business entity qualifying as "small" under the standards
1 25 contained in the Code of Federal Regulations, Title 13, part
1 26 121.
1 27 Sec. 4. Section 422.33, Code Supplement 1997, is amended
1 28 by adding the following new subsection:
1 29 NEW SUBSECTION. 8. A small business operating within the
1 30 state is entitled to claim a small business tax credit against
1 31 the taxes imposed under this division equal to any amount paid
1 32 to the United States small business administration as a
1 33 guaranty fee in order to obtain small business administration
1 34 guaranteed financing. The credit shall be applicable only to
1 35 the tax year in which the guaranty fee was paid and shall be
2 1 claimed only by the small business which is the primary
2 2 obligor in the financing transaction and which actually paid
2 3 the guaranty fee. Any credit in excess of the tax liability
2 4 is nonrefundable and shall not be carried back or forward.
2 5 EXPLANATION
2 6 This bill provides a small business tax credit to apply
2 7 against personal income tax liability or corporate tax
2 8 liability. Only a small business which is a corporation,
2 9 partnership, sole proprietorship, or other business entity
2 10 qualifying as "small" under the standards contained in the
2 11 Code of Federal Regulations, Title 13, part 121, is eligible.
2 12 The small business must be operating within Iowa. The amount
2 13 of the credit is equal to any amount paid to the United States
2 14 small business administration as a guaranty fee in order to
2 15 obtain small business administration guaranteed financing.
2 16 The credit is only applicable to the tax year in which the
2 17 guaranty fee was paid. The bill provides that the credit
2 18 shall be claimed only by the small business which is the
2 19 primary obligor in the financing transaction and which
2 20 actually paid the guaranty fee. Any credit in excess of the
2 21 tax liability is nonrefundable and shall not be carried back
2 22 or forward.
2 23 LSB 3360HV 77
2 24 tm/sc/14
Text: HF02550 Text: HF02552 Text: HF02500 - HF02599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
© 1998 Cornell College and League of Women Voters of Iowa
Comments about this site or page?
webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Tue Apr 28 03:43:42 CDT 1998
URL: /DOCS/GA/77GA/Legislation/HF/02500/HF02551/980408.html
jhf