Text: SF02081                           Text: SF02083
Text: SF02000 - SF02099                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

Senate File 2082

Partial Bill History

Bill Introduced: S.J. 144
Complete Bill History

Bill Text

PAG LIN
  1  1    Section 1.  NEW SECTION.  135.39A  HEALTH CARE ACCESS FUND
  1  2 – ESTABLISHED – USES.
  1  3    1.  A health care access fund is established in the state
  1  4 treasury.  Two and four-tenths cents of the four and two-
  1  5 tenths cents collected of the tax imposed on each cigarette
  1  6 pursuant to section 453A.6, subsection 1, shall be deposited
  1  7 in the fund.  Additionally, of the tax imposed on tobacco
  1  8 products pursuant to section 453A.43, subsections 1 and 2,
  1  9 fifty percent of the seventy-two percent of the wholesale
  1 10 sales price or cost of tobacco products collected shall be
  1 11 deposited in the health care access fund.  Notwithstanding
  1 12 section 8.33, any unexpended balances in the fund at the end
  1 13 of each fiscal year shall be retained in the fund.
  1 14 Notwithstanding section 12C.7, subsection 2, interest or
  1 15 earnings on investments or time deposits of the moneys in the
  1 16 fund shall be credited to the fund.
  1 17    2.  Moneys in the health care access fund shall be used
  1 18 only for the purpose of increasing Iowans' access to health
  1 19 care.
  1 20    Sec. 2.  Section 453A.6, subsection 1, Code 2001, is
  1 21 amended to read as follows:
  1 22    1.  There is imposed, and shall be collected and paid to
  1 23 the department, the following taxes on all cigarettes used or
  1 24 otherwise disposed of in this state for any purpose
  1 25 whatsoever:
  1 26    CLASS A.  On cigarettes weighing not more than three pounds
  1 27 per thousand, eighteen mills four and two-tenths cents on each
  1 28 such cigarette.
  1 29    CLASS B.  On cigarettes weighing more than three pounds per
  1 30 thousand, eighteen mills four and two-tenths cents on each
  1 31 such cigarette.
  1 32    Sec. 3.  Section 453A.43, subsections 1 and 2, Code 2001,
  1 33 are amended to read as follows:
  1 34    1.  A tax is imposed upon all tobacco products in this
  1 35 state and upon any person engaged in business as a distributor
  2  1 of tobacco products, at the rate of twenty-two seventy-two
  2  2 percent of the wholesale sales price of the tobacco products,
  2  3 except little cigars as defined in section 453A.42.  Little
  2  4 cigars shall be subject to the same rate of tax imposed upon
  2  5 cigarettes in section 453A.6, payable at the time and in the
  2  6 manner provided in section 453A.6; and stamps shall be affixed
  2  7 as provided in division I of this chapter.  The tax on tobacco
  2  8 products, excluding little cigars, shall be imposed at the
  2  9 time the distributor does any of the following:
  2 10    a.  Brings, or causes to be brought, into this state from
  2 11 without the state tobacco products for sale.
  2 12    b.  Makes, manufactures, or fabricates tobacco products in
  2 13 this state for sale in this state.
  2 14    c.  Ships or transports tobacco products to retailers in
  2 15 this state, to be sold by those retailers.
  2 16    2.  A tax is imposed upon the use or storage by consumers
  2 17 of tobacco products in this state, and upon the consumers, at
  2 18 the rate of twenty-two seventy-two percent of the cost of the
  2 19 tobacco products.
  2 20    The tax imposed by this subsection shall not apply if the
  2 21 tax imposed by subsection 1 on the tobacco products has been
  2 22 paid.
  2 23    This tax shall not apply to the use or storage of tobacco
  2 24 products in quantities of:
  2 25    a.  Less than 25 cigars.
  2 26    b.  Less than 10 oz. snuff or snuff powder.
  2 27    c.  Less than 1 lb. smoking or chewing tobacco or other
  2 28 tobacco products not specifically mentioned herein, in the
  2 29 possession of any one consumer.  
  2 30                           EXPLANATION
  2 31    This bill increases the tax on cigarettes from 1.8 cents
  2 32 per cigarette to 4.2 cents per cigarette.  The bill also
  2 33 changes the use of mills in assessing the tax to the use of
  2 34 cents.  One mill equals one one-thousandth of a cent.  The
  2 35 effect of the bill, as an example, is to increase the tax on a
  3  1 pack of 20 cigarettes from 36 cents per pack to 86 cents per
  3  2 pack.  Additionally, the bill increases the tax on tobacco
  3  3 products from 22 percent of the wholesale sales price for
  3  4 distributors and 22 percent of the cost of tobacco products
  3  5 for the use or storage by consumers of tobacco products to 72
  3  6 percent of the wholesale sales price and of the cost.  Of the
  3  7 72 percent of the wholesale sales price and of the cost
  3  8 collected, 50 percent is to be deposited in the health care
  3  9 access fund.
  3 10    The bill establishes a health care access fund in the state
  3 11 treasury.  Two and four-tenths cents per cigarette of the 4.2
  3 12 cents per cigarette collected from the cigarette tax and 50
  3 13 percent of the 72 percent of the wholesale sales price or cost
  3 14 of the tobacco products collected from the tax on tobacco
  3 15 products are to be deposited in the health care access fund.
  3 16 Moneys in the fund are to be used solely for the purpose of
  3 17 increasing Iowans' access to health care.  
  3 18 LSB 5778SS 79
  3 19 pf/sh/8

Text: SF02081                           Text: SF02083
Text: SF02000 - SF02099                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

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