Senate File 592 - Enrolled

PAG LIN



  1  1                                             SENATE FILE 592
  1  2
  1  3                             AN ACT
  1  4 RELATING TO THE STREAMLINED SALES AND USE TAX AGREEMENT AND
  1  5    ADMINISTRATION OF THE TAX AND RELATED LAWS BY THE
  1  6    DEPARTMENT OF REVENUE, INCLUDING ADMINISTRATION OF SALES
  1  7    AND USE TAXES, AND PROVIDING AN EFFECTIVE DATE.
  1  8
  1  9 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  1 10
  1 11    Section 1.  Section 423.1, subsection 52, Code 2007, is
  1 12 amended to read as follows:
  1 13    52.  "State" means any state of the United States, and the
  1 14 District of Columbia, and Puerto Rico.
  1 15    Sec. 2.  Section 423.16, subsection 3, Code 2007, is
  1 16 amended by striking the subsection.
  1 17    Sec. 3.  Section 423.33, subsection 1, Code 2007, is
  1 18 amended to read as follows:
  1 19    1.  LIABILITY OF PURCHASER FOR SALES TAX.  If a purchaser
  1 20 fails to pay sales tax to the retailer required to collect the
  1 21 tax, then in addition to all of the rights, obligations, and
  1 22 remedies provided, the tax is payable by the purchaser
  1 23 directly to the department, and sections 423.31, 423.32,
  1 24 423.37, 423.38, 423.39, 423.40, 423.41, and 423.42 apply to
  1 25 the purchaser.  For failure to pay, the retailer and purchaser
  1 26 are liable, unless the circumstances described in section
  1 27 421.60, subsection 2, paragraph "m", section 423.34A, or
  1 28 section 423.45, subsection 4, paragraph "b" or "e", or
  1 29 subsection 5, paragraph "c" or "e", are applicable.
  1 30    Sec. 4.  NEW SECTION.  423.34A  EXCLUSION FROM LIABILITY
  1 31 FOR PURCHASERS.
  1 32    A purchaser is relieved of liability for payment of state
  1 33 sales or use tax, for payment of any local option sales tax,
  1 34 for payment of interest, or for payment of any penalty for
  1 35 nonpayment of tax which nonpayment is not fraudulent, willful,
  2  1 or intentional, under the following circumstances:
  2  2    1.  The purchaser, the purchaser's seller or certified
  2  3 service provider, or the purchaser holding a direct pay permit
  2  4 relied on erroneous data contained in this state's taxability
  2  5 matrix completed pursuant to the agreement.
  2  6    2.  The purchaser, the purchaser's seller or certified
  2  7 service provider, or the purchaser holding a direct pay permit
  2  8 relied on erroneous data provided by the state with regard to
  2  9 tax rates, boundaries, or taxing jurisdiction assignments.
  2 10    3.  The purchaser used a database described in section
  2 11 423.52, subsection 1, or section 423.55 and relied on
  2 12 erroneous data about tax rates, boundaries, or taxing
  2 13 jurisdiction assignments contained in that database.
  2 14    Sec. 5.  Section 423.57, Code 2007, is amended to read as
  2 15 follows:
  2 16    423.57  STATUTES APPLICABLE.
  2 17    The director shall administer this subchapter as it relates
  2 18 to the taxes imposed in this chapter in the same manner and
  2 19 subject to all the provisions of, and all of the powers,
  2 20 duties, authority, and restrictions contained in sections
  2 21 423.14, 423.15, 423.16, 423.17, 423.18, 423.19, 423.20,
  2 22 423.21, 423.22, 423.23, 423.24, 423.25, 423.28, 423.29,
  2 23 423.31, 423.32, 423.33, 423.34, 423.35, 423.37, 423.38,
  2 24 423.39, 423.40, 423.41, and 423.42, section 423.43, subsection
  2 25 3, and sections 423.45, 423.46, and 423.47.
  2 26    Sec. 6.  Section 423.57, Code 2007, as amended by this Act,
  2 27 is amended to read as follows:
  2 28    423.57  STATUTES APPLICABLE.
  2 29    The director shall administer this subchapter as it relates
  2 30 to the taxes imposed in this chapter in the same manner and
  2 31 subject to all the provisions of, and all of the powers,
  2 32 duties, authority, and restrictions contained in sections
  2 33 423.14, 423.15, 423.16, 423.17, 423.19, 423.20, 423.21,
  2 34 423.22, 423.23, 423.24, 423.25, 423.28, 423.29, 423.31,
  2 35 423.32, 423.33, 423.34, 423.34A, 423.35, 423.37, 423.38,
  3  1 423.39, 423.40, 423.41, and 423.42, section 423.43, subsection
  3  2 3, and sections 423.45, 423.46, and 423.47.
  3  3    Sec. 7.  Section 423.51, subsection 2, paragraph d, as
  3  4 enacted by 2006 Iowa Acts, chapter 1158, section 77, is
  3  5 amended by striking the paragraph.
  3  6    Sec. 8.  2006 Iowa Acts, chapter 1158, section 71, is
  3  7 repealed.
  3  8    Sec. 9.  Section 423.18, Code 2007, is repealed.
  3  9    Sec. 10.  EFFECTIVE DATE.  The sections of this Act
  3 10 amending section 423.33 and section 423.57, as amended by this
  3 11 Act, and enacting section 423.34A take effect on January 1,
  3 12 2009.
  3 13
  3 14
  3 15                                                             
  3 16                               JOHN P. KIBBIE
  3 17                               President of the Senate
  3 18
  3 19
  3 20                                                             
  3 21                               PATRICK J. MURPHY
  3 22                               Speaker of the House
  3 23
  3 24    I hereby certify that this bill originated in the Senate and
  3 25 is known as Senate File 592, Eighty=second General Assembly.
  3 26
  3 27
  3 28                                                             
  3 29                               MICHAEL E. MARSHALL
  3 30                               Secretary of the Senate
  3 31 Approved                , 2007
  3 32
  3 33
  3 34                                
  3 35 CHESTER J. CULVER
  4  1 Governor