701—18.32 (422,423) Sale, transfer or exchange of tangible personal property or taxable enumerated services between affiliated corporations.
	 18.32(1) In general. The sale, transfer or exchange of tangible personal property or taxable services among affiliated corporations, included but not limited to a parent corporation to a subsidiary corporation, for a consideration is subject to tax. A bookkeeping entry for an “account payable” qualifies as consideration as well as the actual exchange of money or its equivalent. Transactions between affiliated corporations may not be subject to tax where it can be shown that the affiliated corporations are operating as a unit within the meaning of Iowa Code sections 422.42(1) and 423.1(8).
	 18.32(2) Affiliated corporations acting as a unit. If an affiliated corporation acts as an agent for the other affiliated corporation in a transaction listed in 18.32(1) such corporation shall be considered as acting as a unit as set forth herein and such transactions may not be subject to tax.
This rule should not be equated with the unitary business concept used in corporation income tax law.
This rule is intended to implement Iowa Code sections 422.42(1) and 423.1(8).