Text: SF02286 Text: SF02288 Text: SF02200 - SF02299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422B.1, subsection 3, Code 2001, is 1 2 amended to read as follows: 1 3 3. A local option tax shall be imposed only after an 1 4 election at which a majority of those voting on the question 1 5 favors imposition and shall then be imposed until repealed as 1 6 provided in subsection 6, paragraph "a". If the tax is a 1 7 local vehicle tax imposed by a county, it shall apply to all 1 8 incorporated and unincorporated areas of the county. If the 1 9 tax is a local sales and services tax imposed by a county, it 1 10 shall only apply to those incorporated areas and the 1 11 unincorporated area of that county in which a majority of 1 12 those voting in the area on the tax favors its imposition. 1 13 For purposes of the local sales and services tax, all cities 1 14 contiguous to each other shall be treated as part of one 1 15 incorporated area and the tax would be imposed in each of 1 16 those contiguous cities only if the majority of those voting 1 17 in the total area covered by the contiguous cities favors its 1 18 imposition. For purposes of the local sales and services tax, 1 19 a city is not contiguous to another city if the only road 1 20 access between the two cities is through another state. 1 21 However, for elections held on or after April 1, 2002, on the 1 22 question of the imposition of a local sales and services tax, 1 23 the tax shall only be imposed if a majority of the total 1 24 number of those voting on the question favors the imposition 1 25 and the tax shall then be imposed and shall apply to all 1 26 incorporated and unincorporated areas of the county. 1 27 Sec. 2. Section 422B.1, subsection 6, paragraph a, 1 28 unnumbered paragraph 1, Code 2001, is amended to read as 1 29 follows: 1 30 If a majority of those voting on the question of imposition 1 31 of a local option tax favors imposition of a local option tax, 1 32 the governing body of that county shall impose the tax at the 1 33 rate specified for an unlimited period. However, in the case 1 34 of a local sales and services tax, the county shall not impose 1 35 the tax in any incorporated area or the unincorporated area if 2 1 the majority of those voting on the tax in that area did not 2 2 favor its imposition. For purposes of the local sales and 2 3 services tax, all cities contiguous to each other shall be 2 4 treated as part of one incorporated area and the tax shall be 2 5 imposed in each of those contiguous cities only if the 2 6 majority of those voting on the tax in the total area covered 2 7 by the contiguous cities favored its imposition. However, for 2 8 elections held on or after April 1, 2002, the local sales and 2 9 services tax shall only be imposed if a majority of the total 2 10 number of those voting on the question favors the imposition 2 11 and shall then be imposed and apply to all incorporated and 2 12 unincorporated areas of the county. 2 13 PARAGRAPH DIVIDED. The local option tax may be repealed or 2 14 the rate increased or decreased or the use thereof changed 2 15 after an election at which a majority of those voting on the 2 16 question of repeal or rate or use change favored the repeal or 2 17 rate or use change. The date on which the repeal, rate, or 2 18 use change is to take effect shall not be earlier than ninety 2 19 days following the election. The election at which the 2 20 question of repeal or rate or use change is offered shall be 2 21 called and held in the same manner and under the same 2 22 conditions as provided in subsections 4 and 5 for the election 2 23 on the imposition of the local option tax. However, in the 2 24 case of a local sales and services tax where the tax has not 2 25 been imposed countywide, the question of repeal or imposition 2 26 or rate or use change shall be voted on only by the registered 2 27 voters of the areas of the county where the tax has been 2 28 imposed or has not been imposed, as appropriate. The 2 29 imposition or repeal shall apply to all areas voting on the 2 30 imposition or repeal if a majority of the total number voting 2 31 on the question favors the imposition or repeal. 2 32 PARAGRAPH DIVIDED.However, theThe governing body of the 2 33 incorporated area or unincorporated area where the local sales 2 34 and services tax is imposed may, upon its own motion, request 2 35 the county commissioner of elections to hold an election in 3 1 the incorporated or unincorporated area, as appropriate, on 3 2 the question of the change in use of local sales and services 3 3 tax revenues. The election may be held at any time but not 3 4 sooner than sixty days following publication of the ballot 3 5 proposition. If a majority of those voting in the 3 6 incorporated or unincorporated area on the change in use 3 7 favors the change, the governing body of that area shall 3 8 change the use to which the revenues shall be used. The 3 9 ballot proposition shall list the present use of the revenues, 3 10 the proposed use, and the date after which revenues received 3 11 will be used for the new use. 3 12 Sec. 3. Section 422B.1, subsection 9, Code 2001, is 3 13 amended by striking the subsection. 3 14 Sec. 4. Section 422B.1, subsection 10, Code 2001, is 3 15 amended to read as follows: 3 16 10. Notwithstandingsubsection 9 orany other contrary 3 17 provision of this chapter, a local option sales and services 3 18 tax shall not be repealed or reduced in rate if obligations 3 19 are outstanding which are payable as provided in section 3 20 422B.12, unless funds sufficient to pay the principal, 3 21 interest, and premium, if any, on the outstanding obligations 3 22 at and prior to maturity have been properly set aside and 3 23 pledged for that purpose. 3 24 Sec. 5. Section 422B.1, Code 2001, is amended by adding 3 25 the following new subsection: 3 26 NEW SUBSECTION. 11. a. On or after April 1, 2002, a 3 27 local sales and services tax shall only be imposed or repealed 3 28 countywide. The tax shall be imposed or repealed after an 3 29 election at which a majority of the total number of those 3 30 voting on the question favors the imposition or repeal. The 3 31 tax shall then be imposed or repealed and shall apply to all 3 32 incorporated and unincorporated areas of the county. 3 33 b. If a county has in effect on April 1, 2002, a local 3 34 sales and services tax which is not imposed in all 3 35 incorporated or unincorporated areas, the county may continue 4 1 to impose the tax on a noncountywide basis. Paragraph "a" 4 2 does not apply to such a county until the tax has been 4 3 repealed by the county or the tax has been imposed countywide. 4 4 Sec. 6. Section 422B.8, unnumbered paragraph 1, Code 4 5 Supplement 2001, is amended to read as follows: 4 6 A local sales and services tax at the rate of not more than 4 7 one percent may be imposed by a county on the gross receipts 4 8 taxed by the state under chapter 422, division IV. A local 4 9 sales and services tax shall be imposed on the same basis as 4 10 the state sales and services tax or in the case of the use of 4 11 natural gas, natural gas service, electricity, or electric 4 12 service on the same basis as the state use tax and shall not 4 13 be imposed on the sale of any property or on any service not 4 14 taxed by the state, except the tax shall not be imposed on the 4 15 gross receipts from the sale of motor fuel or special fuel as 4 16 defined in chapter 452A which is consumed for highway use or 4 17 in watercraft or aircraft if the fuel tax is paid on the 4 18 transaction and a refund has not or will not be allowed, on 4 19 the gross receipts from the rental of rooms, apartments, or 4 20 sleeping quarters which are taxed under chapter 422A during 4 21 the period the hotel and motel tax is imposed, on the gross 4 22 receipts from the sale of equipment by the state department of 4 23 transportation, on the gross receipts from the sale of self- 4 24 propelled building equipment, pile drivers, motorized 4 25 scaffolding, or attachments customarily drawn or attached to 4 26 self-propelled building equipment, pile drivers, and motorized 4 27 scaffolding, including auxiliary attachments which improve the 4 28 performance, safety, operation, or efficiency of the equipment 4 29 and replacement parts and are directly and primarily used by 4 30 contractors, subcontractors, and builders for new 4 31 construction, reconstruction, alterations, expansion, or 4 32 remodeling of real property or structures, and on the gross 4 33 receipts from the sale of a lottery ticket or share in a 4 34 lottery game conducted pursuant to chapter 99E and except the 4 35 tax shall not be imposed on the gross receipts from the sale 5 1 or use of natural gas, natural gas service, electricity, or 5 2 electric service in a city or county where the gross receipts 5 3 from the sale of natural gas or electric energy are subject to 5 4 a franchise fee or user fee during the period the franchise or 5 5 user fee is imposed. A local sales and services tax is 5 6 applicable to transactions within those incorporated and 5 7 unincorporated areas of the county where it is imposed and 5 8 shall be collected by all persons required to collect state 5 9 gross receipts taxes. However, a person required to collect 5 10 state retail sales tax under chapter 422, division IV, is not 5 11 required to collect local sales and services tax on 5 12 transactions delivered within the area where the local sales 5 13 and services tax is imposed unless the person has physical 5 14 presence in that taxing area.All cities contiguous to each5 15other shall be treated as part of one incorporated area and5 16the tax would be imposed in each of those contiguous cities5 17only if the majority of those voting in the total area covered5 18by the contiguous cities favor its imposition.5 19 Sec. 7. EFFECTIVE AND APPLICABILITY DATE. This Act takes 5 20 effect on April 1, 2002, and applies to elections for the 5 21 imposition or repeal of local sales and services taxes held on 5 22 or after that date. 5 23 EXPLANATION 5 24 This bill requires that the imposition of a local sales and 5 25 services tax be imposed and apply on a countywide basis. 5 26 Present law allows for the nonimposition of the tax in areas 5 27 of a county that have not voted in favor of the imposition. 5 28 The bill would allow counties that have imposed the tax on a 5 29 noncountywide basis to continue to impose the tax until 5 30 repealed or the tax becomes imposed countywide, after which 5 31 any election to repeal or impose the tax must be done on a 5 32 countywide basis. 5 33 The bill takes effect April 1, 2002, and applies to 5 34 elections for the imposition or repeal of local sales and 5 35 services taxes held on or after that date. 6 1 LSB 5024SV 79 6 2 mg/sh/8
Text: SF02286 Text: SF02288 Text: SF02200 - SF02299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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