Text: HSB00706 Text: HSB00708 Text: HSB00700 - HSB00799 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 262B.11, subsection 2, paragraph a, 1 2 Code Supplement 2003, is amended to read as follows: 1 3 a. The applicant utilizes a technology developed by an 1 4 employee at a university under the control of the state board 1 5 of regents, provided that the technology has received a patent 1 6 after July 1,20032002. If the applicant has been in 1 7 existence more than one year prior to applying, the applicant 1 8 shall organize a separate company to utilize the technology. 1 9 For purposes of this section, the separate company shall be 1 10 considered the applicant and, if approved, the approved 1 11 business. 1 12 Sec. 2. Section 262B.11, subsection 5, paragraph b, Code 1 13 Supplement 2003, is amended to read as follows: 1 14 b. For the university employee responsible for the 1 15 development of the technology utilized by the approved 1 16 business, the value of the tax credit certificate shall equal 1 17 ten percent of thetax liabilitytaxable payroll for the tax 1 18 year of the approved business. If more than one employee is 1 19 responsible for the development of the technology, the value 1 20 equal to ten percent of thetax liabilitytaxable payroll for 1 21 the tax year of the approved business shall be divided equally 1 22 and individual tax credit certificates shall be issued to each 1 23 employee responsible for the development of the technology. 1 24 Each year, the total value of a certificate or certificates 1 25 issued for a utilized technology shall not exceedseventy-five1 26 twenty-five thousand dollars. For each technology utilized, 1 27 the total aggregate value of certificates issued over a five- 1 28 year period to the university employee responsible for the 1 29 development of the technology shall not exceedtwoone hundred 1 30 twenty-five thousand dollars. 1 31 Sec. 3. Section 262B.11, Code Supplement 2003, is amended 1 32 by adding the following new subsection: 1 33 NEW SUBSECTION. 5A. The total amount of tax credit 1 34 certificates issued to university employees under the 1 35 university-based research utilization program shall not exceed 2 1 two million dollars. 2 2 EXPLANATION 2 3 This bill relates to tax credits under the university-based 2 4 research utilization program. 2 5 Currently, as one of the application criteria, an applicant 2 6 for participation in the program must utilize a technology 2 7 developed by an employee at a university under the control of 2 8 the state board of regents, provided that the technology has 2 9 received a patent after July 1, 2003. The bill changes the 2 10 date to July 1, 2002. 2 11 The bill changes the calculation of the value of a tax 2 12 credit for university employees from 10 percent of the tax 2 13 liability of the approved business to 10 percent of the 2 14 taxable payroll for the tax year of the approved business. 2 15 The bill reduces the limitation on the amount of tax credit 2 16 certificates that may be issued each year for a utilized 2 17 technology from $75,000 to $25,000. The bill reduces the 2 18 five-year period limitation of the total aggregate value of 2 19 tax certificates issued per technology utilized from $200,000 2 20 to $125,000 for each university employee. The bill provides 2 21 that the total amount of tax credit certificates issued to 2 22 university employees under the university-based research 2 23 utilization program shall not exceed $2 million. 2 24 LSB 5456XL 80 2 25 tm/pj/5
Text: HSB00706 Text: HSB00708 Text: HSB00700 - HSB00799 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
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