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Senate Amendment 3287

Amendment Text

PAG LIN
  1  1    Amend Senate File 426 as follows:
  1  2    #1.  By striking everything after the enacting
  1  3 clause and inserting the following:
  1  4    "Section 1.  Section 15.333, subsection 1,
  1  5 unnumbered paragraph 1, Code 2003, is amended to read
  1  6 as follows:
  1  7    An eligible business may claim a corporate tax
  1  8 credit up to a maximum of ten percent of the new
  1  9 investment which is directly related to new jobs
  1 10 created by the location or expansion of an eligible
  1 11 business under the program.  Any credit in excess of
  1 12 the tax liability for the tax year may be credited to
  1 13 the tax liability for the following seven years or
  1 14 until depleted, whichever occurs earlier.  Subject to
  1 15 prior approval by the department of economic
  1 16 development in consultation with the department of
  1 17 revenue and finance, an eligible business whose
  1 18 project primarily involves the production of value-
  1 19 added agricultural products may elect to receive a
  1 20 refund of all or a portion of an unused tax credit.
  1 21 For purposes of this section, an eligible business
  1 22 includes a cooperative described in section 521 of the
  1 23 Internal Revenue Code which is not required to file an
  1 24 Iowa corporate income tax return, and whose project
  1 25 primarily involves the production of ethanol.  The
  1 26 refund may be used against a tax liability imposed
  1 27 under chapter 422, division II, III, or V.  If the
  1 28 business is a partnership, S corporation, limited
  1 29 liability company, cooperative organized under chapter
  1 30 501 and filing as a partnership for federal tax
  1 31 purposes, or estate or trust electing to have the
  1 32 income taxed directly to the individual, an individual
  1 33 may claim the tax credit allowed.  The amount claimed
  1 34 by the individual shall be based upon the pro rata
  1 35 share of the individual's earnings of the partnership,
  1 36 S corporation, limited liability company, cooperative
  1 37 organized under chapter 501 and filing as a
  1 38 partnership for federal tax purposes, or estate or
  1 39 trust.
  1 40    Sec. 2.  Section 15.333, subsection 2, Code 2003,
  1 41 is amended to read as follows:
  1 42    2.  An eligible business whose project primarily
  1 43 involves the production of value-added agricultural
  1 44 products, that elects to receive a refund of all or a
  1 45 portion of an unused tax credit, shall apply to the
  1 46 department of economic development for tax credit
  1 47 certificates.  An eligible business whose project
  1 48 primarily involves the production of value-added
  1 49 agricultural products shall not claim a tax credit
  1 50 under this section unless a tax credit certificate
  2  1 issued by the department of economic development is
  2  2 attached to the taxpayer's tax return for the tax year
  2  3 for which the tax credit is claimed.  For purposes of
  2  4 this section, an eligible business includes a
  2  5 cooperative described in section 521 of the Internal
  2  6 Revenue Code which is not required to file an Iowa
  2  7 corporate income tax return, and whose project
  2  8 primarily involves the production of ethanol.  For
  2  9 purposes of this section, an eligible business also
  2 10 includes a cooperative described in section 521 of the
  2 11 Internal Revenue Code which is required to file an
  2 12 Iowa corporate income tax return and whose project
  2 13 primarily involves the production of ethanol.  Such
  2 14 cooperative may elect to transfer all or a portion of
  2 15 its tax credit to its members.  The amount of tax
  2 16 credit transferred and claimed by a member shall be
  2 17 based upon the pro rata share of the member's earnings
  2 18 of the cooperative.
  2 19    A tax credit certificate shall not be valid until
  2 20 the tax year following the date of the project
  2 21 completion.  A tax credit certificate shall contain
  2 22 the taxpayer's name, address, tax identification
  2 23 number, the date of project completion, the amount of
  2 24 the tax credit, and other information required by the
  2 25 department of revenue and finance.  The department of
  2 26 economic development shall not issue tax credit
  2 27 certificates which total more than four million
  2 28 dollars during a fiscal year.  If the department
  2 29 receives applications for tax credit certificates in
  2 30 excess of four million dollars, the applicants shall
  2 31 receive certificates for a prorated amount.  The tax
  2 32 credit certificates shall not be transferred except as
  2 33 provided in this subsection for a cooperative
  2 34 described in section 521 of the Internal Revenue Code
  2 35 which is required to file an Iowa corporate income tax
  2 36 return and whose project primarily involves the
  2 37 production of ethanol.  For a cooperative described in
  2 38 section 521 of the Internal Revenue Code, the
  2 39 department of economic development shall require that
  2 40 the cooperative submit a list of its members and the
  2 41 share of each member's interest in the cooperative.
  2 42 The department shall issue a tax credit certificate to
  2 43 each member contained on the submitted list.
  2 44    Sec. 3.  APPLICABILITY DATE.  This Act applies to
  2 45 tax years beginning on or after July 1, 2003." 
  2 46 
  2 47 
  2 48                               
  2 49 DR. JOE SENG 
  2 50 SF 426.702 80
  3  1 da/cl
     

Text: S03286                            Text: S03288
Text: S03200 - S03299                   Text: S Index
Bills and Amendments: General Index     Bill History: General Index

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