Text: HF02225 Text: HF02227 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 15.381 TITLE. 1 2 This part shall be known and may be cited as the "Retail 1 3 Tax Free Zone Program". 1 4 Sec. 2. NEW SECTION. 15.382 DEFINITIONS. 1 5 As used in this part, unless the context otherwise 1 6 requires: 1 7 1. "Central business district" means a concentration of 1 8 contiguous commercial buildings that has historically been the 1 9 economic center of a community. 1 10 2. "Neighborhood commercial district" means a 1 11 concentration of contiguous commercial buildings located 1 12 separate and apart from a central business district within a 1 13 recognized and definable neighborhood of a city that has 1 14 historically been the economic center of the neighborhood. 1 15 Sec. 3. NEW SECTION. 15.383 RETAIL TAX FREE ZONES. 1 16 1. A city may create a retail tax free zone as authorized 1 17 by this part, subject to approval by the department, by 1 18 designating a central business district or a neighborhood 1 19 commercial district for that purpose. A city may establish 1 20 more than one retail tax free zone. However, a city shall 1 21 only designate one central business district as a retail tax 1 22 free zone. 1 23 2. A city may apply to the department for an area to be 1 24 approved as a retail tax free zone at any time prior to July 1 25 1, 2003. 1 26 3. A retail tax free zone designation shall remain in 1 27 effect for ten years following the date of approval. 1 28 Sec. 4. NEW SECTION. 15.384 RETAIL TAX FREE ZONE 1 29 ELIGIBILITY APPROVAL. 1 30 1. A city may file an application for approval of a retail 1 31 tax free zone to the department. The application shall, at a 1 32 minimum, include the following information: 1 33 a. The location of the proposed retail tax free zone. 1 34 b. Evidence that the proposed retail tax free zone is a 1 35 central business district or a neighborhood commercial 2 1 district. 2 2 c. Evidence that the proposed retail tax free zone meets 2 3 the requirements of subsection 2. 2 4 2. In order to be approved as a retail tax free zone, a 2 5 central business district or neighborhood commercial district 2 6 must have a high vacancy rate in commercial buildings. The 2 7 department may approve, deny, or defer the application. 2 8 Sec. 5. NEW SECTION. 15.385 BUSINESS ELIGIBILITY 2 9 INCENTIVES. 2 10 1. A business which is located in an approved retail tax 2 11 free zone is an eligible business. 2 12 2. All retail sales and services by an eligible business 2 13 shall be exempt from the taxes imposed by section 422.43 2 14 during the duration of the retail tax free zone approval. 2 15 EXPLANATION 2 16 This bill creates a retail tax free zone program within the 2 17 department of economic development. 2 18 The bill provides that a city may create a retail tax free 2 19 zone, subject to approval by the department, by designating a 2 20 central business district or a neighborhood commercial 2 21 district for that purpose. The bill provides that a city 2 22 shall only designate one central business district as a retail 2 23 tax free zone, but may establish more than one retail tax free 2 24 zone. 2 25 The bill provides that the city shall file an application 2 26 for approval of a retail tax free zone with the department. 2 27 The bill provides that, in order to be a retail tax free zone, 2 28 a central business district or neighborhood commercial 2 29 district must have a high vacancy rate in commercial 2 30 buildings. The department may approve, deny, or defer the 2 31 application. 2 32 The bill provides that all retail sales by a business 2 33 located in an approved retail tax free zone shall be exempt 2 34 from the sales and services tax imposed pursuant to Code 2 35 chapter 422. The bill does exempt retail sales and services 3 1 from local option sales taxes. 3 2 LSB 5591YH 78 3 3 tm/gg/8
Text: HF02225 Text: HF02227 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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