Text: HF00255 Text: HF00257 Text: HF00200 - HF00299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 422.11D ASSISTIVE DEVICE TAX 1 2 CREDIT SMALL BUSINESS. 1 3 1. The taxes imposed under this division, less the credits 1 4 allowed under sections 422.12 and 422.12B, shall be reduced by 1 5 an assistive device tax credit. A small business purchasing 1 6 or renting an assistive device or making workplace 1 7 modifications for purposes of an individual with a disability 1 8 who is employed or will be employed by the business is 1 9 entitled to receive this assistive device tax credit which is 1 10 equal to fifty percent of the cost paid during the tax year 1 11 for the purchase or rental of the assistive device or for 1 12 making the workplace modifications. Any credit in excess of 1 13 the tax liability shall be refunded with interest computed 1 14 under section 422.25. In lieu of claiming a refund, a 1 15 taxpayer may elect to have the overpayment shown on the 1 16 taxpayer's final, completed return credited to the tax 1 17 liability for the following tax year. 1 18 2. An individual may claim an assistive device tax credit 1 19 allowed a partnership, limited liability company, S 1 20 corporation, estate, or trust electing to have the income 1 21 taxed directly to the individual. The amount claimed by the 1 22 individual shall be based upon the pro rata share of the 1 23 individual's earnings of the partnership, limited liability 1 24 company, S corporation, estate, or trust. 1 25 3. For purposes of this section: 1 26 a. "Assistive device" means any item, piece of equipment, 1 27 or product system which is used to increase, maintain, or 1 28 improve the functional capabilities of an individual with a 1 29 disability in the workplace or on the job. "Assistive device" 1 30 does not mean any medical device, surgical device, or organ 1 31 implanted or transplanted into or attached directly to an 1 32 individual. "Assistive device" does not include any device 1 33 for which a certificate of title is issued by the state 1 34 department of transportation, but does include any item, piece 1 35 of equipment, or product system otherwise meeting the 2 1 definition of "assistive device" that is incorporated, 2 2 attached, or included as a modification in or to such a device 2 3 issued a certificate of title. 2 4 b. "Disability" means any physiological disorder or 2 5 condition, cosmetic disfigurement, or anatomical loss 2 6 affecting one or more of the body systems or any mental or 2 7 psychological disorder, including mental retardation, organic 2 8 brain syndrome, emotional or mental illness and specific 2 9 learning disabilities. 2 10 c. "Small business" means a business that either had gross 2 11 receipts for its preceding tax year of three million dollars 2 12 or less or employed not more than fifteen full-time employees 2 13 during its preceding tax year. 2 14 d. "Workplace modifications" means physical alterations to 2 15 the work environment. 2 16 Sec. 2. Section 422.33, Code 1999, is amended by adding 2 17 the following new subsection: 2 18 NEW SUBSECTION. 8. The taxes imposed under this division 2 19 shall be reduced by an assistive device tax credit. A small 2 20 business purchasing or renting an assistive device or making 2 21 workplace modifications for purposes of an individual with a 2 22 disability who is employed or will be employed by the business 2 23 is entitled to receive this assistive device tax credit which 2 24 is equal to fifty percent of the cost paid during the tax year 2 25 for the purchase or rental of the assistive device or for 2 26 making the workplace modifications. Any credit in excess of 2 27 the tax liability shall be refunded with interest computed 2 28 under section 422.25. In lieu of claiming a refund, a 2 29 taxpayer may elect to have the overpayment shown on the 2 30 taxpayer's final, completed return credited to the tax 2 31 liability for the following tax year. 2 32 a. For purposes of this subsection, "assistive device" 2 33 means any item, piece of equipment, or product system which is 2 34 used to increase, maintain, or improve the functional 2 35 capabilities of an individual with a disability in the 3 1 workplace or on the job. "Assistive device" does not mean any 3 2 medical device, surgical device, or organ implanted or 3 3 transplanted into or attached directly to an individual. 3 4 "Assistive device" does not include any device for which a 3 5 certificate of title is issued by the state department of 3 6 transportation, but does include any item, piece of equipment, 3 7 or product system otherwise meeting the definition of 3 8 "assistive device" that is incorporated, attached, or included 3 9 as a modification in or to such a device issued a certificate 3 10 of title. 3 11 b. "Disability" means any physiological disorder or 3 12 condition, cosmetic disfigurement, or anatomical loss 3 13 affecting one or more of the body systems or any mental or 3 14 psychological disorder, including mental retardation, organic 3 15 brain syndrome, emotional or mental illness, and specific 3 16 learning disabilities. 3 17 c. "Small business" means a business that either had gross 3 18 receipts for its preceding tax year of three million dollars 3 19 or less or employed not more than fifteen full-time employees 3 20 during its preceding tax year. 3 21 d. "Workplace modifications" means physical alterations to 3 22 the work environment. 3 23 Sec. 3. This Act, being deemed of immediate importance, 3 24 takes effect upon enactment and applies retroactively to 3 25 January 1, 1999, for tax years beginning on or after that 3 26 date. 3 27 EXPLANATION 3 28 The bill allows a tax credit equal to 50 percent of the 3 29 cost of the purchase or rental of an assistive device or for 3 30 the renovation of the workplace for purposes of an individual 3 31 with a disability. The credit is refundable and applies to 3 32 both the individual and corporate income taxes. Only small 3 33 businesses are entitled to the credit. A small business is 3 34 one that either had gross receipts in the preceding tax year 3 35 of $3 million or less or employed not more than 15 full-time 4 1 employees during its preceding tax year. An assistive device 4 2 is an item, piece of equipment, or product system which is 4 3 used to increase, maintain, or improve the functional 4 4 capabilities of an individual with a disability in the 4 5 workplace or on the job. 4 6 The bill takes effect upon enactment and applies 4 7 retroactively to January 1, 1999, for tax years beginning on 4 8 or after that date. 4 9 LSB 2051YH 78 4 10 mg/sc/14.1
Text: HF00255 Text: HF00257 Text: HF00200 - HF00299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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