House File 2025 - Introduced
HOUSE FILE
BY SCHICKEL
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act limiting the sales tax imposed on the operation of bingo
2 games to the net receipts.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 5174HH 82
5 ec/rj/14
PAG LIN
1 1 Section 1. Section 423.2, subsection 4, unnumbered
1 2 paragraph 2, Code Supplement 2007, is amended to read as
1 3 follows:
1 4 The tax imposed under this subsection covers the total
1 5 amount from the operation of games of skill, games of chance,
1 6 and raffles, and bingo games as defined in chapter 99B, card
1 7 game tournaments conducted under section 99B.7B, and musical
1 8 devices, weighing machines, shooting galleries, billiard and
1 9 pool tables, bowling alleys, pinball machines, slot=operated
1 10 devices selling merchandise not subject to the general sales
1 11 taxes, the total amount less amounts awarded as prizes from
1 12 the operation of bingo games as defined in chapter 99B, and on
1 13 the total amount from devices or systems where prizes are in
1 14 any manner awarded to patrons and upon the receipts from fees
1 15 charged for participation in any game or other form of
1 16 amusement, and generally upon the sales price from any source
1 17 of amusement operated for profit, not specified in this
1 18 section, and upon the sales price from which tax is not
1 19 collected for tickets or admission, but tax shall not be
1 20 imposed upon any activity exempt from sales tax under section
1 21 423.3, subsection 78. Every person receiving any sales price
1 22 from the sources described in this section is subject to all
1 23 provisions of this subchapter relating to retail sales tax and
1 24 other provisions of this chapter as applicable.
1 25 EXPLANATION
1 26 Under current law, the state sales and use tax is imposed
1 27 on the gross amount derived from the operation of bingo games.
1 28 This bill imposes the tax only on the gross amount less the
1 29 amounts awarded as prizes.
1 30 LSB 5174HH 82
1 31 ec/rj/14