Text: SF02185 Text: SF02187 Text: SF02100 - SF02199 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 421.60, subsection 2, Code 2001, is 1 2 amended by adding the following new paragraph: 1 3 NEW PARAGRAPH. n. The director shall adopt rules 1 4 establishing a procedure for the following: 1 5 (1) Nonbinding mediation requested by the taxpayer or the 1 6 director on an issue unresolved at the conclusion of an appeal 1 7 procedure or of unsuccessful attempts to enter into a 1 8 compromise of any delinquent tax or an agreement to make 1 9 installment payments of any delinquent tax. 1 10 (2) Mandatory arbitration requested jointly by the 1 11 taxpayer and the director on an issue unresolved at the 1 12 conclusion of an appeal procedure or of unsuccessful attempts 1 13 to enter into a compromise of any delinquent tax or an 1 14 agreement to make installment payments of any delinquent tax. 1 15 Sec. 2. Section 421.60, Code 2001, is amended by adding 1 16 the following new subsections: 1 17 NEW SUBSECTION. 11. LEVY OF EXECUTION TOLLED. A levy of 1 18 execution shall not be made on the property or rights to 1 19 property of any person with respect to any delinquent tax 1 20 during any of the following periods: 1 21 a. The period during which an offer to compromise or to 1 22 make installment payments of a delinquent tax is pending with 1 23 the department. An offer is pending with the department 1 24 beginning on the date the department receives the offer for 1 25 processing. 1 26 b. The thirty-day period after the rejection of an offer 1 27 to compromise or make installment payments of a delinquent tax 1 28 or the thirty-day period of the appeal of such rejection. 1 29 c. The period an installment payment agreement, if any, 1 30 for payment of a delinquent tax is in effect. 1 31 d. The thirty-day period after the termination of an 1 32 installment payment agreement for payment of a delinquent tax 1 33 or the thirty-day period of the appeal of such termination. 1 34 NEW SUBSECTION. 12. PROPERTY EXEMPT FROM LEVY. Items 1 35 listed as exempt from levy for federal tax purposes in section 2 1 6334(a) of the Internal Revenue Code shall be exempt from the 2 2 levy of execution for delinquent taxes of this state in the 2 3 same manner and to the same extent as exempted for federal tax 2 4 purposes. 2 5 Sec. 3. Section 422.26, unnumbered paragraphs 1, 7, and 8 2 6 Code 2001, are amended to read as follows: 2 7 Whenever any taxpayer liable to pay a tax and penalty 2 8 imposed refuses or neglects to pay the same, the amount, 2 9 including any interest, penalty, or addition tosuchthe tax, 2 10 together with the costs that may accrue in additiontheretoto 2 11 the tax, shall be a lien in favor of the state upon all 2 12 property and rights to property, whether real or personal, 2 13 belonging tosaidthe taxpayer, except the items of property 2 14 identified in section 421.60, subsection 12. 2 15 The department shall, substantially as provided in this 2 16 chapter and chapter 626, proceed to collect all taxes and 2 17 penalties as soon as practicable after they become delinquent, 2 18 except thatno property of the taxpayer isthe items of 2 19 property identified in section 421.60, subsection 12, are 2 20 exempt from payment of the tax. If service has not been made 2 21 on a distress warrant by the officer to whom addressed within 2 22 five days from the date the distress warrant was received by 2 23 the officer, the authorized revenue agents of the department 2 24 may serve and make return of the warrant to the clerk of the 2 25 district court of the county named in the distress warrant, 2 26 and all subsequent procedure shall be in compliance with 2 27 chapter 626. 2 28 The distress warrant shall be in a form as prescribed by 2 29 the director. It shall be directed to the sheriff of the 2 30 appropriate county and it shall identify the taxpayer, the tax 2 31 type, and the delinquent amount. It shall direct the sheriff 2 32 to distrain, seize, garnish, or levy upon, and sell, as 2 33 provided by law, any nonexempt real or personal property 2 34 belonging to the taxpayer to satisfy the amount of the 2 35 delinquency plus costs. It shall also direct the sheriff to 3 1 make due and prompt return to the department or to the 3 2 district court under chapters 626 and 642 of all amounts 3 3 collected. 3 4 Sec. 4. EFFECTIVE AND APPLICABILITY DATE PROVISIONS. This 3 5 Act, being deemed of immediate importance, takes effect upon 3 6 enactment and applies to taxes that first become delinquent or 3 7 are delinquent on or after the effective date. 3 8 EXPLANATION 3 9 This bill adds to the state tax procedures and practices 3 10 Act a number of provisions that are modeled after the federal 3 11 Internal Revenue Service Restructuring and Reform Act of 1998 3 12 (P.L. No. 105-206). One provision includes the establishment 3 13 of procedures for nonbinding mediation upon the request of the 3 14 taxpayer or the director of revenue and finance and 3 15 establishment of procedures for mandatory arbitration upon the 3 16 joint request of the taxpayer and the director. A second 3 17 provision forbids the taking of the taxpayer's property to pay 3 18 taxes during the period when a request for a compromise of the 3 19 tax or request for installment payments of the tax are pending 3 20 before the director, during the 30-day period following 3 21 rejection of such request or during the appeal of the 3 22 rejection of such request, and the 30-day period following 3 23 termination of an installment payment agreement or the 30-day 3 24 period of appeal of such termination. The final provision 3 25 identifies items of property of persons which are exempt from 3 26 execution and payment of any tax. These items include wearing 3 27 apparel; fuel, provisions, furniture, and personal effects of 3 28 $6,250 adjusted for inflation; books and tools of a trade, 3 29 business, or profession of $3,125 adjusted for inflation; 3 30 unemployment benefits; workmen's compensation; child support 3 31 payments; minimum exemption for wages and salary; service- 3 32 connected disability payments; and the principal residence of 3 33 the taxpayer, and certain business assets. 3 34 The bill takes effect upon enactment and applies to taxes 3 35 first delinquent or remaining delinquent on or after the 4 1 effective date. 4 2 LSB 2970XS 79 4 3 mg/pj/5
Text: SF02185 Text: SF02187 Text: SF02100 - SF02199 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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