Text: HF00407 Text: HF00409 Text: HF00400 - HF00499 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 404A.1, subsection 1, Code 2001, is 1 2 amended to read as follows: 1 3 1. A property rehabilitation tax credit, subject to the1 4availability of the credit,is granted against the income tax 1 5 imposed under chapter 422, division II,ordivision III, or 1 6 division V, or chapter 432 for the rehabilitation of eligible 1 7 property located in this state as provided in this chapter. 1 8 Tax creditsin excess of tax liabilitiesshall berefunded1 9 transferable or carried forward or backward as provided in 1 10 section 404A.4, subsection 3. 1 11 Sec. 2. Section 404A.2, unnumbered paragraph 3, Code 2001, 1 12 is amended to read as follows: 1 13 Any rehabilitation costs used in the computation of the tax 1 14 credit under this chapter shall not be deductible for purposes 1 15 of individual and corporate income taxes, the franchise tax, 1 16 and the insurance gross premiums tax. 1 17 Sec. 3. Section 404A.4, subsection 2, Code 2001, is 1 18 amended to read as follows: 1 19 2. After verifying the eligibility for the tax credit, the 1 20 state historic preservation office, in consultation with the 1 21 department of economic development, shall issue a property 1 22 rehabilitation tax credit certificate to be attached to the 1 23 person's tax return. The tax credit certificate shall contain 1 24 the taxpayer's name, address, tax identification number, the 1 25 date of project completion, the amount of credit,andother 1 26 information required by the department of revenue and finance, 1 27 and a place for the name and tax identification number of any 1 28 transferee and the amount of the credit being transferred. 1 29 Sec. 4. Section 404A.4, subsections 3 and 4, Code 2001, 1 30 are amended by striking the subsections and inserting in lieu 1 31 thereof the following: 1 32 3. a. Any property rehabilitation tax credit in excess of 1 33 the person's tax liability may be carried backward for one tax 1 34 year or carried forward for up to twenty tax years. 1 35 b. A person receiving a property rehabilitation tax credit 2 1 under this chapter may transfer all or a portion of the unused 2 2 tax credit to any other person. However, the tax credit shall 2 3 only be transferred once. The transferee may use the amount 2 4 of the tax credit transferred against the taxes imposed under 2 5 chapter 422, divisions II, III, and V and chapter 432 for any 2 6 tax year the original transferor could have claimed the 2 7 credit. Any consideration received for the transfer of the 2 8 tax credit shall not be included as income under chapter 422, 2 9 divisions II, III, and V or as premiums under chapter 432. 2 10 Any consideration paid for the transfer of the tax credit 2 11 shall not be deducted from income under chapter 422, divisions 2 12 II, III, and V or from premiums under chapter 432. 2 13 Sec. 5. Section 422.11D, subsection 1, Code 2001, is 2 14 amended to read as follows: 2 15 1. The taxes imposed under this division, less the credits 2 16 allowed under sections 422.12 and 422.12B, shall be reduced by 2 17 a property rehabilitation tax credit equal to the amount as 2 18 computed under chapter 404A for rehabilitating eligible 2 19 property. Any creditin excess of the tax liabilitygranted 2 20 under chapter 404A shall berefundedtransferable or carried 2 21 forward or backward as provided in section 404A.4, subsection 2 22 3. 2 23 Sec. 6. Section 422.33, subsection 10, paragraph a, Code 2 24 2001, is amended to read as follows: 2 25 a. The taxes imposed under this division shall be reduced 2 26 by a property rehabilitation tax credit equal to the amount as 2 27 computed under chapter 404A for rehabilitating eligible 2 28 property. Any creditin excess of the tax liabilitygranted 2 29 under chapter 404A shall berefundedtransferable or carried 2 30 forward or backward as provided in section 404A.4, subsection 2 31 3. 2 32 Sec. 7. Section 422.60, Code 2001, is amended by adding 2 33 the following new subsection: 2 34 NEW SUBSECTION. 4. The taxes imposed under this division 2 35 shall be reduced by a property rehabilitation tax credit equal 3 1 to the amount as computed under chapter 404A for 3 2 rehabilitating eligible property. Any credit granted under 3 3 chapter 404A shall be transferable or carried forward or 3 4 backward as provided in section 404A.4, subsection 3. 3 5 b. For purposes of this subsection, "eligible property" 3 6 means the same as used in section 404A.1. 3 7 Sec. 8. NEW SECTION. 432.12A PROPERTY REHABILITATION TAX 3 8 CREDIT. 3 9 1. The taxes imposed under this chapter shall be reduced 3 10 by a property rehabilitation tax credit equal to the amount as 3 11 computed under chapter 404A for rehabilitating eligible 3 12 property. Any credit granted under chapter 404A shall be 3 13 transferable or carried forward or backward as provided in 3 14 section 404A.4, subsection 3. 3 15 2. For purposes of this section, "eligible property" means 3 16 the same as used in section 404A.1. 3 17 Sec. 9. EFFECTIVE AND APPLICABILITY DATES. This Act takes 3 18 effect July 1, 2001, and applies to qualified rehabilitation 3 19 costs incurred on or after that date. 3 20 EXPLANATION 3 21 A property rehabilitation tax credit was enacted in the 3 22 2000 Session that provided individual and corporate income tax 3 23 credits to persons rehabilitating historical property. This 3 24 bill makes a number of changes in that tax credit. 3 25 Current law limits the amount of credits that may be 3 26 granted to $2.4 million per fiscal year. The bill eliminates 3 27 this cap. The bill expands the availability of the credit to 3 28 financial institutions that pay the franchise tax and 3 29 insurance companies that pay the gross premiums tax. The bill 3 30 makes the tax credit transferable to another person or allows 3 31 for any excess credit to be carried backward for one tax year 3 32 or carried forward for 20 tax years. The bill eliminates the 3 33 refund provisions of the current law. 3 34 The bill takes effect July 1, 2001, and applies to 3 35 qualified rehabilitation costs incurred on or after that date. 4 1 LSB 2315HH 79 4 2 mg/gg/8.1
Text: HF00407 Text: HF00409 Text: HF00400 - HF00499 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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