S-3046

   Amend Senate File 364, as passed by the Senate, as follows:
   1.  Page 1, before line 1 by inserting: 
   <Section 1.  Section 422.7, subsection 62, Code 2021, is amended to read as follows:
   62.  a.  Subtract, to the extent included, the amount of any financial assistance qualifying COVID-19 grant provided to an eligible small issued to an individual or business by the economic development authority under the Iowa small business relief grant program created during calendar year 2020 to provide financial assistance to eligible small businesses economically impacted by the COVID-19 pandemic, the Iowa finance authority, or the department of agriculture and land stewardship.
   b.  For purposes of this subsection, “qualifying COVID-19 grant” includes any grant identified by the department by rule that was issued under a grant program administered by the economic development authority, Iowa finance authority, or the department of agriculture and land stewardship to provide financial assistance to individuals and businesses economically impacted by the COVID-19 pandemic.
   c.  The economic development authority, Iowa finance authority, or the department of agriculture and land stewardship shall notify the department of any COVID-19 grant program that may qualify under this subsection in the manner and form prescribed by the department.
   d.  This subsection is repealed January 1, 2024, and does not apply to tax years beginning on or after that date.
   Sec. ___.  Section 422.7, Code 2021, is amended by adding the following new subsection:
   NEW SUBSECTION.  63.  a.  Notwithstanding any other provision of law to the contrary, subtract to the extent included compensation or assistance received by the taxpayer authorized pursuant to any of the following federal programs:
   (1)  Pandemic unemployment assistance, Coronavirus Aid, Relief, and Economic Security Act, Pub. L. No. 116-136, §2102.
   (2)  Federal pandemic unemployment compensation, Coronavirus Aid, Relief, and Economic Security Act, Pub. L. No. 116-36, §2104(b)(1)(B).
   (3)  Pandemic emergency unemployment compensation, Coronavirus Aid, Relief, and Economic Security Act, Pub. L. No. 116-136, §2107.
   (4)  Pandemic unemployment compensation related to subparagraphs (1) and (3) approved by the memorandum authorizing the other needs assistance program for major disaster declarations related to the coronavirus disease 2019, issued by the president of the United States on August 8, 2020.
   (5)  Extension of pandemic unemployment compensation under subchapter 1 of the Consolidated Appropriations Act, 2021, Pub. L. No. 116-260.
   b.  This subsection is repealed January 1, 2026.
   Sec. ___.  Section 422.35, subsection 30, Code 2021, is amended to read as follows:
   30.  a.  Subtract, to the extent included, the amount of any financial assistance qualifying COVID-19 grant provided to an eligible small issued to a business by the economic development authority under the Iowa small business relief grant program created during calendar year 2020 to provide financial assistance to eligible small businesses economically impacted by the COVID-19 pandemic, the Iowa finance authority, or the department of agriculture and land stewardship.
   b.  For purposes of this subsection, “qualifying COVID-19 grant” includes any grant identified by the department by rule that was issued under a grant program administered by the economic development authority, Iowa finance authority, or the department of agriculture and land stewardship to provide financial assistance to businesses economically impacted by the COVID-19 pandemic.
   c.  The economic development authority, Iowa finance authority, or the department of agriculture and land stewardship shall notify the department of any COVID-19 grant program that may qualify under this subsection in the manner and form prescribed by the department.
   d.  This subsection is repealed January 1, 2024, and does not apply to tax years beginning on or after that date.>
   2.  Page 1, line 4, by striking <§278(a)> and inserting <§278>
   3.  Page 1, after line 7 by inserting: 
   <Sec. ___.  TAXPAYER RELIEF FUND —— TRANSFERS.
   1.  There is transferred from the taxpayer relief fund created in section 8.57E to the general fund of the state for the following fiscal years, the following amounts:
   FY 2020-2021:
   ...................................................................... $ 90,300,000

   FY 2021-2022:
   ...................................................................... $ 12,800,000

   2.  Notwithstanding subsection 1, for the fiscal year beginning July 1, 2021, and ending June 30, 2022, if the balance of the taxpayer relief fund created in section 8.57E is less than $12,800,000, the amount transferred under subsection 1 for the fiscal year shall be the balance of the taxpayer relief fund.
   3.  The transfers in this section are made for the purpose of providing moneys to the general fund of the state for the tax relief provided in this Act.>
   4.  Page 1, after line 9 by inserting: 
   <Sec. ___.  RETROACTIVE APPLICABILITY.  The following apply retroactively to March 23, 2020, for tax years ending on or after that date:
   1.  The section of this Act amending section 422.7, subsection 62.
   2.  The section of this Act amending section 422.35.
   Sec. ___.  RETROACTIVE APPLICABILITY.  The following applies retroactively to January 1, 2020, for the tax year beginning on or after that date but before January 1, 2021:
   The section of this Act enacting section 422.7, subsection 63.>
   5.  Title page, by striking lines 1 through 3 and inserting <An Act relating to pandemic relief by excluding certain COVID-19 related grants from the individual and corporate income taxes, allowing certain deductions relating to the paycheck protection program loan forgiveness, excluding certain pandemic unemployment compensation from the individual income tax, making transfers from the taxpayer relief fund, and including effective date and retroactive applicability provisions.>
   6.  By renumbering as necessary.