If an agreement provides that all or part of program costs are to be met by receipt of new jobs credit from withholding, it shall be done as follows:
1. New jobs credit from withholding shall be based upon the wages paid to the employees in the new jobs.
2. An amount equal to one and one-half percent of the gross wages paid by the business to each employee participating in a project shall be credited from the payment made by a business pursuant to section 422.16. If the amount of the withholding by the business is less than one and one-half percent of the gross wages paid to the employees covered by the agreement, then the business shall receive a credit against other withholding taxes due by the business. The business shall remit the amount of the credit quarterly in the same manner as withholding payments are reported to the department of revenue and finance, to the community college. To the extent this credit represents repayments of an advance made under section 260F.6 plus interest, it shall be paid to the treasurer of state. When the repayments of an advance plus interest have been paid, the business credits shall cease and any money received after this shall be remitted to the treasurer of state to be deposited in the general fund of the state.
3. The business shall certify to the department of revenue and finance that the credit in withholding is in accordance with an agreement and shall provide other information the department may require.
4. A community college shall certify to the department of revenue and finance the amount of new jobs credit from withholding a business has remitted to the community college and shall provide other information the department may require.
5. An employee participating in a project will receive full credit for the amount withheld as provided in section 422.16.
85 Acts, ch 235, §5 ~ICS85, § 280C.5 ~I90 Acts, ch 1253, § 85; 92 Acts, ch 1042, §6 ~IC93, § 260F.5
Referred to in § 260F.2
Iowa General Assembly
Search: Iowa Code 1995
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