House File 832 - Introduced



                                       HOUSE FILE      
                                       BY  COMMITTEE ON WAYS AND MEANS

                                       (SUCCESSOR TO HF 692)


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to coupling Iowa's tax laws with the federal
  2    Internal Revenue Code and including an applicability date
  3    provision.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 2019HV 81
  6 sc/pj/5

PAG LIN



  1  1    Section 1.  Section 15.335, subsection 4, unnumbered
  1  2 paragraph 2, Code 2005, is amended to read as follows:
  1  3    For purposes of this section, "Internal Revenue Code" means
  1  4 the Internal Revenue Code in effect on January 1, 2004 same as
  1  5 defined in section 422.3.
  1  6    Sec. 2.  Section 15A.9, subsection 8, paragraph e,
  1  7 unnumbered paragraph 2, Code 2005, is amended to read as
  1  8 follows:
  1  9    For purposes of this subsection, "Internal Revenue Code"
  1 10 means the Internal Revenue Code in effect on January 1, 2004
  1 11 same as defined in section 422.3.
  1 12    Sec. 3.  Section 422.3, subsection 5, Code 2005, is amended
  1 13 by striking the subsection and inserting in lieu thereof the
  1 14 following:
  1 15    5.  "Internal Revenue Code" means the Internal Revenue Code
  1 16 of 1986, and amendments thereto, and other provisions of the
  1 17 laws of the United States relating to federal income taxes, as
  1 18 the same may be or become effective at any time, or from time
  1 19 to time, for the taxable year.
  1 20    Sec. 4.  NEW SECTION.  422.3A  FISCAL IMPACT OF INTERNAL
  1 21 REVENUE CODE CHANGES == ANNUAL STATEMENT BY DIRECTOR.
  1 22    On or before the first day of each regular session of the
  1 23 general assembly, the director of revenue shall transmit to
  1 24 each member of the general assembly a statement detailing the
  1 25 estimated fiscal impact to state general fund revenues, over
  1 26 at least a five=year period, resulting from the state's
  1 27 incorporating the changes made by Congress to the Internal
  1 28 Revenue Code.
  1 29    Sec. 5.  Section 422.10, subsection 3, unnumbered paragraph
  1 30 2, Code 2005, is amended by striking the unnumbered paragraph.
  1 31    Sec. 6.  Section 422.32, subsection 7, Code 2005, is
  1 32 amended by striking the subsection.
  1 33    Sec. 7.  Section 422.33, subsection 5, paragraph d,
  1 34 unnumbered paragraph 2, Code 2005, is amended by striking the
  1 35 unnumbered paragraph.
  2  1    Sec. 8.  APPLICABILITY.  This Act applies to tax years
  2  2 beginning on or after January 1, 2006.
  2  3                           EXPLANATION
  2  4    This bill changes the Code definition of the federal
  2  5 "Internal Revenue Code" to automatically include any federally
  2  6 enacted changes, making it no longer necessary for the general
  2  7 assembly to annually update, through legislation, the
  2  8 reference to the most recent year of amendment of the Internal
  2  9 Revenue Code.
  2 10    The bill requires the department of revenue to, each year,
  2 11 provide a fiscal impact statement to the general assembly
  2 12 detailing the impact to state general fund revenues as a
  2 13 result of incorporating the changes made by Congress to the
  2 14 Internal Revenue Code.
  2 15    The bill applies to tax years beginning on or after January
  2 16 1, 2006.
  2 17 LSB 2019HV 81
  2 18 sc:rj/pj/5