Text: SF00290 Text: SF00292 Text: SF00200 - SF00299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 260C.18, Code 2003, is amended by 1 2 adding the following new subsection: 1 3 NEW SUBSECTION. 8. Revenue derived from imposition of the 1 4 income surtax authorized pursuant to section 260C.26. 1 5 Sec. 2. NEW SECTION. 260C.26 INCOME SURTAX. 1 6 1. An income surtax that provides funding for community 1 7 colleges in addition to the taxes authorized pursuant to 1 8 sections 260C.17, 260C.22, and 260C.28 is established. The 1 9 income surtax may be imposed for a period not to exceed five 1 10 years by a resolution adopted by the board of directors of a 1 11 merged area, or for a period not to exceed ten years if 1 12 approved by a majority of the registered voters voting in the 1 13 merged area. The rate of income surtax shall be established 1 14 by the board, not to exceed one-half of one percent. Revenue 1 15 derived from the income surtax may be utilized for any purpose 1 16 specified by the board either by resolution in the case of a 1 17 board-authorized income surtax, or as stated on the ballot 1 18 proposition. 1 19 2. If the board does not provide for an election and 1 20 adopts a resolution to impose the income surtax for a period 1 21 not to exceed five years, the income surtax shall be imposed 1 22 unless, within twenty-eight days following the action of the 1 23 board, the secretary of the board receives a petition 1 24 containing the required number of signatures, asking that an 1 25 election be called to approve or disapprove the action of the 1 26 board in adopting the resolution to impose the tax. The 1 27 petition must be signed by registered voters equal in number 1 28 to not less than one hundred or thirty percent of the number 1 29 of voters at the last preceding regular school election, 1 30 whichever is greater. The board shall either rescind its 1 31 action or direct the county commissioner of elections to 1 32 submit the question to the registered voters of the merged 1 33 area at the next following regular school election or a 1 34 special election. If a majority of those voting on the 1 35 question at the election favors disapproval of the action of 2 1 the board, the board shall not impose the income surtax. If a 2 2 majority of those voting on the question does not favor 2 3 disapproval of the action, the board shall certify the results 2 4 of the election to the department of management and the income 2 5 surtax shall be imposed as provided in subsection 4. 2 6 3. If the board adopts a resolution to impose the income 2 7 surtax for a period exceeding five years, but not to exceed 2 8 ten years, the board shall submit the question of imposition 2 9 of the income surtax to the registered voters in the merged 2 10 area pursuant to the election provisions of section 260C.15. 2 11 4. An income surtax shall be imposed for tax years 2 12 beginning on or after January 1 of the fiscal year in which 2 13 the resolution was adopted or a favorable election was held, 2 14 on the state individual income tax of each individual residing 2 15 in the merged area at the end of the individual's applicable 2 16 tax year. However, the cumulative total of the percents of 2 17 income surtax imposed on any taxpayer in the merged area shall 2 18 not exceed twenty percent. For purposes of this section, 2 19 "state individual income tax" means the tax computed under 2 20 section 422.5, less the credits allowed in sections 422.11A, 2 21 422.11B, 422.12, and 422.12B. 2 22 5. The director of revenue and finance shall administer 2 23 the income surtax imposed under this section, and sections 2 24 422.20, 422.22 to 422.31, 422.68, and 422.72 to 422.75 shall 2 25 apply with respect to administration of the income surtax. 2 26 The income surtax shall be made a part of the Iowa individual 2 27 income tax return subject to the conditions and restrictions 2 28 set forth in section 422.21. The director shall collect and 2 29 account for the income surtax and any interest and penalties, 2 30 and shall credit income surtax receipts and any interest and 2 31 penalties collected from returns filed on or before November 1 2 32 of the calendar year following the tax year for which the 2 33 income surtax is imposed to a community college income surtax 2 34 fund created in the department of revenue and finance. All 2 35 income surtax receipts and any interest and penalties received 3 1 or refunded from returns filed after November 1 of the 3 2 calendar year following the tax year for which the income 3 3 surtax is imposed shall be deposited in or withdrawn from the 3 4 general fund of the state and shall be considered part of the 3 5 cost of administering the income surtax. 3 6 6. Amounts credited to the community college income surtax 3 7 fund shall be separately allocated to the credit of each 3 8 merged area, and a separate accounting of each surtax, by 3 9 merged area, shall be maintained. The director of revenue and 3 10 finance shall draw warrants in payment of the surtaxes 3 11 collected in each merged area. Warrants shall be payable in 3 12 two installments to be paid on approximately the first day of 3 13 December and the first day of February following collection of 3 14 the taxes and shall be delivered to the respective merged 3 15 areas. 3 16 Sec. 3. Section 298.14, unnumbered paragraph 1, Code 2003, 3 17 is amended to read as follows: 3 18 For each fiscal year, the cumulative total of the percents 3 19 of surtax approved by the board of directors of a school 3 20 district and collected by the department of revenue and 3 21 finance under sections 257.21, 257.29, and 298.2, and the 3 22 enrichment surtax under section 442.15, Code 1989,and anthe 3 23 income surtax collected by a political subdivision under 3 24 chapter 422D, and the income surtax collected pursuant to 3 25 section 260C.26 shall not exceed twenty percent. 3 26 EXPLANATION 3 27 This bill provides for the imposition of a community 3 28 college income surtax. The bill provides that the income 3 29 surtax may be imposed for a period not to exceed five years by 3 30 a resolution adopted by the board of directors of a merged 3 31 area, or for a period not to exceed 10 years if approved by a 3 32 majority vote of the eligible electors in the merged area. 3 33 The bill provides that the rate of tax shall not exceed one- 3 34 half of 1 percent, and that revenue derived from the income 3 35 surtax may be utilized for any purpose specified by the board 4 1 and, if applicable, stated on the ballot proposition. 4 2 The bill provides that if the board adopts a resolution to 4 3 impose the income surtax for a period not to exceed five 4 4 years, reverse referendum provisions are applicable. The bill 4 5 provides that if the board adopts a resolution to impose the 4 6 income surtax for a period exceeding five years, but not to 4 7 exceed 10 years, the board shall submit the question of 4 8 imposition of the income surtax to the registered voters in 4 9 the merged area pursuant to the election provisions of Code 4 10 section 260C.15. 4 11 The bill provides that the income surtax shall be imposed 4 12 for tax years beginning on or after January 1 of the fiscal 4 13 year in which the resolution was adopted or a favorable 4 14 election was held, on the state individual income tax of each 4 15 individual residing in the merged area at the end of the 4 16 individual's applicable tax year. The bill provides, however, 4 17 that the cumulative total of the percents of income surtax 4 18 imposed on any taxpayer in the merged area shall not exceed 20 4 19 percent, and makes corresponding changes to Code section 4 20 298.14. The bill provides references to Code sections 4 21 specifying the computation of the state individual income tax 4 22 and the application of credits to the tax, and provides 4 23 references to several Code sections regarding administration 4 24 of the tax. 4 25 The bill provides that the director of revenue and finance 4 26 shall collect and account for the income surtax and any 4 27 interest and penalties, and shall credit them to a community 4 28 college income surtax fund created in the department of 4 29 revenue and finance. The bill provides that amounts credited 4 30 to the fund shall be separately allocated to the credit of 4 31 each merged area, and a separate accounting of each surtax, by 4 32 merged area, shall be maintained. The bill provides that the 4 33 director of revenue and finance shall draw warrants in payment 4 34 of the surtaxes collected in each merged area, which shall be 4 35 payable in two installments to be paid on approximately the 5 1 first day of December and the first day of February following 5 2 collection of the taxes and shall be delivered to the 5 3 respective merged areas. 5 4 LSB 2325SS 80 5 5 rn/cl/14
Text: SF00290 Text: SF00292 Text: SF00200 - SF00299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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