Text: SF02040                           Text: SF02042
Text: SF02000 - SF02099                 Text: SF Index
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Senate File 2041

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 425A.2, subsection 4, Code 2003, is
  1  2 amended by adding the following new paragraphs:
  1  3    NEW PARAGRAPH.  bb.  If the owner is a family farm limited
  1  4 partnership, a family member who holds a partnership interest
  1  5 in the limited partnership.
  1  6    NEW PARAGRAPH.  cc.  If the owner is a family farm limited
  1  7 liability company, a family member who is a member of the
  1  8 limited liability company.
  1  9    NEW PARAGRAPH.  ee.  If the owner is an individual who
  1 10 leases the tract to a family farm limited liability company, a
  1 11 member of the limited liability company if the combined
  1 12 membership interest of the family farm limited liability
  1 13 company held by the owner of the tract and persons related to
  1 14 the owner as enumerated in paragraph "a" is equal to at least
  1 15 fifty-one percent of the membership interest of the family
  1 16 farm limited liability company.
  1 17    NEW PARAGRAPH.  g.  If the owner is an individual who
  1 18 leases the tract to a family farm limited partnership, a
  1 19 limited partner of the limited partnership if the combined
  1 20 interest of the family farm limited partnership held by the
  1 21 owner of the tract and persons related to the owner as
  1 22 enumerated in paragraph "a" is equal to at least fifty-one
  1 23 percent of the interest of the family farm limited
  1 24 partnership.
  1 25    Sec. 2.  Section 425A.2, subsection 6, paragraph f, Code
  1 26 2003, is amended to read as follows:
  1 27    f.  A family farm corporation, or authorized farm
  1 28 corporation, family farm limited liability company, or a
  1 29 family farm limited partnership, as both are defined in
  1 30 section 9H.1, which owns the agricultural land.
  1 31    Sec. 3.  APPLICABILITY.  This Act is effective January 1,
  1 32 2005, for family farm tax credits allowed for property taxes
  1 33 payable in fiscal years beginning on or after July 1, 2005.  
  1 34                           EXPLANATION
  1 35    This bill amends provisions in Code chapter 425A providing
  2  1 for a family farm tax credit.  The chapter provides that the
  2  2 tax credit is available to certain individual, partnership, or
  2  3 corporate owners who are actively engaged in farming and is
  2  4 patterned after the agricultural land tax credit (Code chapter
  2  5 426).  The bill amends definitions in Code chapter 425A,
  2  6 including the definitions of "designated person" and "owner"
  2  7 who are eligible to file for the tax credit.  The bill
  2  8 provides that individuals with an interest in a family farm
  2  9 limited liability company or a family farm limited partnership
  2 10 may file for the credit.  Code section 9H.1 provides a
  2 11 definition of these family farm entities.  Generally, the
  2 12 entity must be founded for purposes of farming, a majority of
  2 13 persons holding an interest in the entity must be family
  2 14 members, the persons must be individuals, and 60 percent of
  2 15 the gross revenues of the entity must come from farming (over
  2 16 the last three-year period).
  2 17    The bill is effective January 1, 2005, for family farm tax
  2 18 credits allowed for property taxes payable in fiscal years
  2 19 beginning on or after July 1, 2005.  
  2 20 LSB 5192XS 80
  2 21 da/sh/8
     

Text: SF02040                           Text: SF02042
Text: SF02000 - SF02099                 Text: SF Index
Bills and Amendments: General Index     Bill History: General Index

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