Text: SF00226 Text: SF00228 Text: SF00200 - SF00299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. Section 422.7, Code 1997, is amended by adding
1 2 the following new subsection:
1 3 NEW SUBSECTION. 35. Subtract, to the extent included,
1 4 capital gains from the sale or transfer of residential or
1 5 rental residential dwellings where the sale or transfer occurs
1 6 between January 1, 1997, and December 31, 1998. For purposes
1 7 of this subsection, "residential dwelling" means a single-
1 8 family home, duplex, triplex, fourplex, or other structure
1 9 which contains areas devoted to human occupancy and includes
1 10 any garage area and up to one acre of land primarily used by
1 11 the inhabitants. "Residential dwelling" does not include a
1 12 hotel, motel, or other such structure in which rooms or living
1 13 areas are rented and rerented on a frequent basis. The
1 14 exclusion for capital gains on residential dwellings that
1 15 contain areas whose use is not devoted primarily to living
1 16 quarters shall be apportioned under rules adopted by the
1 17 director so as to only allow the exclusion on capital gains
1 18 attributable to the living quarters.
1 19 Sec. 2. Section 422.35, Code 1997, is amended by adding
1 20 the following new subsection:
1 21 NEW SUBSECTION. 14. Subtract, to the extent included,
1 22 capital gains from the sale or transfer of residential or
1 23 rental residential dwellings where the sale or transfer occurs
1 24 between January 1, 1997, and December 31, 1998. For purposes
1 25 of this subsection, "residential dwelling" means a single-
1 26 family home, duplex, triplex, fourplex, or other structure
1 27 which contains areas devoted to human occupancy and includes
1 28 any garage area and up to one acre of land primarily used by
1 29 the inhabitants. "Residential dwelling" does not include a
1 30 hotel, motel, or other such structure in which rooms or living
1 31 areas are rented and rerented on a frequent basis. The
1 32 exclusion for capital gains on residential dwellings that
1 33 contain areas whose use is not devoted primarily to living
1 34 quarters shall be apportioned under rules adopted by the
1 35 director so as to only allow for exclusion of capital gains
2 1 attributable to the living quarters.
2 2 Sec. 3. This Act applies retroactively to January 1, 1997,
2 3 for the tax years beginning on or after that date.
2 4 EXPLANATION
2 5 The bill exempts from the state individual and corporate
2 6 income taxes for a two-year period beginning January 1, 1997,
2 7 the capital gains from the sale or transfer of residential and
2 8 rental residential dwellings. Residential dwellings include
2 9 single-family and multifamily dwellings, but do not include
2 10 hotels and motels. Apartments are included, but capital gains
2 11 from areas that are not used for human occupancy are factored
2 12 out.
2 13 The bill applies retroactively to January 1, 1997, for tax
2 14 years beginning on or after that date.
2 15 LSB 2294XS 77
2 16 mg/jw/5
Text: SF00226 Text: SF00228 Text: SF00200 - SF00299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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