House File 2309 - Introduced
HOUSE FILE
BY TJEPKES
(COMPANION TO LSB 5530SS
BY BEALL)
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act creating the community foundation fund, providing an Iowa
2 individual income tax checkoff for the community foundation
3 fund, making an appropriation, and providing for the Act's
4 implementation.
5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
6 TLSB 5530YH 81
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PAG LIN
1 1 Section 1. NEW SECTION. 15E.312 COMMUNITY FOUNDATION
1 2 FUND.
1 3 1. As used in this section, unless the context otherwise
1 4 requires, "qualified community foundation" means an endow Iowa
1 5 qualified community foundation as defined in section 15E.303.
1 6 2. A community foundation fund is created as a separate
1 7 and distinct fund in the state treasury under the control of
1 8 the department of economic development.
1 9 3. Revenue for the community foundation fund shall include
1 10 but is not limited to the following:
1 11 a. Moneys credited to the fund pursuant to section
1 12 422.12G.
1 13 b. Moneys in the form of a devise, gift, bequest,
1 14 donation, or federal or other grant intended to be used for
1 15 the purposes of the fund.
1 16 4. Moneys in the community foundation fund are not subject
1 17 to section 8.33. Notwithstanding section 12C.7, subsection 2,
1 18 interest or earnings on moneys in the fund shall be credited
1 19 to the fund.
1 20 5. Moneys in the community foundation fund are
1 21 appropriated to the department of economic development to be
1 22 distributed to qualified community foundations.
1 23 6. The department of economic development shall distribute
1 24 moneys from the community foundation fund to qualified
1 25 community foundations in each county in an amount equal to the
1 26 total dollar amount of moneys credited to the community
1 27 foundation fund and designated for the specific qualified
1 28 community foundations as a result of community foundation fund
1 29 income tax return checkoffs executed under section 422.12G.
1 30 7. The department of economic development shall establish
1 31 rules relating to the distribution of nondesignated moneys
1 32 from the community foundation fund.
1 33 Sec. 2. NEW SECTION. 422.12G INCOME TAX CHECKOFF FOR
1 34 COMMUNITY FOUNDATION FUND.
1 35 1. A person who files an individual or a joint income tax
2 1 return with the department of revenue under section 422.13 may
2 2 designate one dollar or more to be credited to the community
2 3 foundation fund created in section 15E.312 and paid to a
2 4 specific qualified community foundation. If the refund due on
2 5 the return or the payment remitted with the return is
2 6 insufficient to pay the additional amount designated by the
2 7 taxpayer to the community foundation fund, the amount
2 8 designated shall be reduced to the remaining amount of the
2 9 refund or the remaining amount remitted with the return. The
2 10 designation of a contribution to the community foundation fund
2 11 under this section is irrevocable.
2 12 2. The director of revenue shall draft the income tax form
2 13 to allow the designation of contributions to the community
2 14 foundation fund on the tax return. The department of revenue,
2 15 on or before January 31, shall transfer the total amount
2 16 designated on the tax return forms due in the preceding
2 17 calendar year to the community foundation fund created in
2 18 section 15E.312. However, before a checkoff pursuant to this
2 19 section shall be permitted, all liabilities on the books of
2 20 the department of revenue and accounts identified as owing
2 21 under section 421.17 and the political contribution allowed
2 22 under section 68A.601 shall be satisfied.
2 23 3. The department of revenue shall adopt rules to
2 24 administer this section.
2 25 4. This section is subject to repeal under section
2 26 422.12E.
2 27 Sec. 3. IMPLEMENTATION. The checkoff created in this Act
2 28 shall be eligible for placement on the individual income tax
2 29 return form beginning for the tax year commencing January 1,
2 30 2007.
2 31 EXPLANATION
2 32 This bill creates the community foundation fund under the
2 33 control of the department of economic development. Moneys in
2 34 the fund are appropriated to the department of economic
2 35 development.
3 1 The bill also creates a community foundation fund income
3 2 tax checkoff. Moneys collected from the checkoff are to be
3 3 credited to the fund and then distributed to qualified
3 4 community foundations as designated by the taxpayer.
3 5 The bill provides that the limitation on the number of
3 6 checkoffs allowed on the Iowa individual income tax return
3 7 does apply to the community foundation fund checkoff.
3 8 LSB 5530YH 81
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