Senate File 2305
SENATE FILE
BY COMMITTEE ON WAYS AND MEANS
(SUCCESSOR TO SSB 3175)
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to Iowa individual income tax checkoffs,
2 providing an income tax checkoff for volunteer fire fighter
3 preparedness, providing an income tax checkoff for the keep
4 Iowa beautiful fund, relating to the limitation on income tax
5 checkoffs, and including effective and retroactive
6 applicability date provisions.
7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
8 TLSB 7079SV 80
9 sc/gg/14
PAG LIN
1 1 Section 1. NEW SECTION. 100B.13 VOLUNTEER FIRE FIGHTER
1 2 PREPAREDNESS FUND.
1 3 1. A volunteer fire fighter preparedness fund is created
1 4 as a separate and distinct fund in the state treasury under
1 5 the control of the division of fire protection of the
1 6 department of public safety.
1 7 2. Revenue for the volunteer fire fighter preparedness
1 8 fund shall include, but is not limited to, the following:
1 9 a. Moneys credited to the fund pursuant to section
1 10 422.12F.
1 11 b. Moneys in the form of a devise, gift, bequest,
1 12 donation, or federal or other grant intended to be used for
1 13 the purposes of the fund.
1 14 3. Moneys in the volunteer fire fighter preparedness fund
1 15 are not subject to section 8.33. Notwithstanding section
1 16 12C.7, subsection 2, interest or earnings on moneys in the
1 17 fund shall be credited to the fund.
1 18 4. Moneys in the volunteer fire fighter preparedness fund
1 19 are appropriated to the division of fire protection of the
1 20 department of public safety to be used annually to pay the
1 21 costs of providing volunteer fire fighter training around the
1 22 state and to pay the costs of providing volunteer fire
1 23 fighting equipment.
1 24 Sec. 2. Section 314.28, Code 2003, is reenacted to read as
1 25 follows:
1 26 314.28 KEEP IOWA BEAUTIFUL FUND.
1 27 A keep Iowa beautiful fund is created in the office of the
1 28 treasurer of state. The fund is composed of moneys
1 29 appropriated or available to and obtained or accepted by the
1 30 treasurer of state for deposit in the fund. The fund shall
1 31 include moneys credited to the fund as provided in section
1 32 422.12A. All interest earned on moneys in the fund shall be
1 33 credited to and remain in the fund. Section 8.33 does not
1 34 apply to moneys in the fund.
1 35 Moneys in the fund are subject to appropriation by the
2 1 general assembly annually for the purposes of educating and
2 2 encouraging Iowans to take greater responsibility for
2 3 improving their community environment and enhancing the beauty
2 4 of the state through litter prevention, improving waste
2 5 management and recycling efforts, and beautification projects.
2 6 The department may authorize payment of moneys appropriated
2 7 from the fund to the department upon approval of an
2 8 application from a private or public organization. The
2 9 applicant shall submit a plan for litter prevention, improving
2 10 waste management and recycling efforts, or a beautification
2 11 project along with its application. The department shall
2 12 establish standards relating to the type of projects available
2 13 for assistance.
2 14 Sec. 3. Section 422.12A, Code Supplement 2003, is
2 15 reenacted to read as follows:
2 16 422.12A INCOME TAX REFUND CHECKOFF FOR KEEP IOWA BEAUTIFUL
2 17 FUND.
2 18 1. A person who files an individual or a joint income tax
2 19 return with the department of revenue under section 422.13 may
2 20 designate one dollar or more to be paid to the keep Iowa
2 21 beautiful fund as created in section 314.28. If the refund
2 22 due on the return or the payment remitted with the return is
2 23 insufficient to pay the additional amount designated by the
2 24 taxpayer to the keep Iowa beautiful fund, the amount
2 25 designated shall be reduced to the remaining amount of refund
2 26 or the remaining amount remitted with the return. The
2 27 designation of a contribution to the keep Iowa beautiful fund
2 28 under this section is irrevocable.
2 29 2. The director of revenue shall draft the income tax form
2 30 to allow the designation of contributions to the keep Iowa
2 31 beautiful fund on the tax return. The department of revenue,
2 32 on or before January 31, shall certify the total amount
2 33 designated on the tax return forms due in the preceding
2 34 calendar year and shall report the amount to the treasurer of
2 35 state. The treasurer of state shall credit the amount to the
3 1 keep Iowa beautiful fund. However, before a checkoff pursuant
3 2 to this section shall be permitted, all liabilities on the
3 3 books of the department of revenue and accounts identified as
3 4 owing under section 421.17 and the political contribution
3 5 allowed under section 68A.601 shall be satisfied.
3 6 3. Moneys in the fund are subject to appropriation as
3 7 provided in section 314.28.
3 8 4. The department of revenue shall adopt rules to
3 9 administer this section.
3 10 5. This section is subject to repeal under section
3 11 422.12E.
3 12 Sec. 4. Section 422.12E, Code Supplement 2003, is amended
3 13 to read as follows:
3 14 422.12E INCOME TAX RETURN CHECKOFFS LIMITED.
3 15 For tax years beginning on or after January 1, 1995 2004,
3 16 there shall be allowed no more than three four income tax
3 17 return checkoffs on each income tax return. When the same
3 18 three four income tax return checkoffs have been provided on
3 19 the income tax return for three two consecutive years, the
3 20 checkoff two checkoffs for which the least amount has been
3 21 contributed, in the aggregate for the first two tax years year
3 22 and through March 15 of the third second tax year, shall be
3 23 are repealed. This section does not apply to the income tax
3 24 return checkoff provided in section 68A.601.
3 25 If more checkoffs are enacted in the same session of the
3 26 general assembly than there is space for inclusion on the
3 27 individual tax return form, the earliest enacted checkoffs for
3 28 which there is space for inclusion on the return form shall be
3 29 included on the return form, and all other checkoffs enacted
3 30 during that session of the general assembly are repealed.
3 31 Sec. 5. NEW SECTION. 422.12F INCOME TAX CHECKOFF FOR
3 32 VOLUNTEER FIRE FIGHTER PREPAREDNESS.
3 33 1. A person who files an individual or a joint income tax
3 34 return with the department of revenue under section 422.13 may
3 35 designate one dollar or more to be paid to the volunteer fire
4 1 fighter preparedness fund as created in section 100B.13. If
4 2 the refund due on the return or the payment remitted with the
4 3 return is insufficient to pay the additional amount designated
4 4 by the taxpayer to the volunteer fire fighter preparedness
4 5 fund, the amount designated shall be reduced to the remaining
4 6 amount of refund or the remaining amount remitted with the
4 7 return. The designation of a contribution to the volunteer
4 8 fire fighter preparedness fund under this section is
4 9 irrevocable.
4 10 2. The director of revenue shall draft the income tax form
4 11 to allow the designation of contributions to the volunteer
4 12 fire fighter preparedness fund on the tax return. The
4 13 department of revenue, on or before January 31, shall certify
4 14 the total amount designated on the tax return forms due in the
4 15 preceding calendar year and shall report the amount to the
4 16 treasurer of state. The treasurer of state shall credit the
4 17 amount to the volunteer fire fighter preparedness fund.
4 18 However, before a checkoff pursuant to this section shall be
4 19 permitted, all liabilities on the books of the department of
4 20 revenue and accounts identified as owing under section 421.17
4 21 and the political contribution allowed under section 68A.601
4 22 shall be satisfied.
4 23 3. The department of revenue shall adopt rules to
4 24 administer this section.
4 25 4. This section is subject to repeal under section
4 26 422.12E.
4 27 Sec. 6. EFFECTIVE DATE. The section of this Act amending
4 28 section 422.12E, being deemed of immediate importance, takes
4 29 effect upon enactment.
4 30 Sec. 7. The sections of this Act reenacting section
4 31 422.12A and enacting section 422.12F apply retroactively to
4 32 tax years beginning on or after January 1, 2004.
4 33 EXPLANATION
4 34 This bill makes changes relating to Iowa individual income
4 35 tax checkoffs.
5 1 The bill reenacts the keep Iowa beautiful checkoff which
5 2 was scheduled to be removed from the Iowa individual income
5 3 tax return form effective for the tax year beginning January
5 4 1, 2004. The bill provides that taxpayers filing individual
5 5 income tax returns will be allowed to designate $1 or more on
5 6 the return to be paid to the keep Iowa beautiful fund. The
5 7 bill requires the department of revenue to annually remit
5 8 moneys collected from the checkoff to the keep Iowa beautiful
5 9 fund created in the office of the treasurer of state. Moneys
5 10 in the fund are subject to appropriation by the general
5 11 assembly annually to the department of transportation for the
5 12 purpose of awarding financial assistance to an applicant who
5 13 submits, along with its application, a plan for litter
5 14 prevention, improving waste management and recycling efforts,
5 15 or a beautification project. The bill provides that the keep
5 16 Iowa beautiful checkoff is subject to the limitation on the
5 17 number of checkoffs allowed on the Iowa individual income tax
5 18 return and, for that reason, is subject to repeal.
5 19 The bill also creates a volunteer fire fighter preparedness
5 20 income tax checkoff. Moneys collected from the checkoff are
5 21 to be credited to the volunteer fire fighter preparedness fund
5 22 under the control of the division of fire protection of the
5 23 department of public safety. Moneys in the fund are
5 24 appropriated to the division of fire protection of the
5 25 department of public safety. Moneys in the fund are to be
5 26 used to pay the costs of providing volunteer fire fighter
5 27 training around the state and volunteer fire fighter training
5 28 equipment.
5 29 The bill amends Code section 422.12E relating to the
5 30 limitation on the number of checkoffs allowed on the Iowa
5 31 individual income tax return to allow for four checkoffs on a
5 32 return form for two years with two being taken off at a time.
5 33 When the same four income tax return checkoffs have been
5 34 provided for two consecutive years, the two checkoffs
5 35 receiving the lowest contributions are repealed automatically
6 1 without further action by the general assembly. The section
6 2 is also amended to provide that if more checkoffs are enacted
6 3 during a session of the general assembly than space available
6 4 on the income tax return form, the checkoffs first enacted
6 5 will take the next available openings on the income tax return
6 6 form and all other checkoffs enacted during that session are
6 7 repealed. These provisions of the bill take effect upon
6 8 enactment.
6 9 The checkoffs created in the bill apply retroactively to
6 10 January 1, 2004, for tax years beginning on or after that
6 11 date.
6 12 LSB 7079SV 80
6 13 sc/gg/14