Senate File 237 - Introduced



                                       SENATE FILE       
                                       BY  RAGAN and BEALL


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

                                      A BILL FOR

  1 An Act concerning the sales tax on the operation of bingo games.
  2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  3 TLSB 2510SS 82
  4 mg/gg/14

PAG LIN



  1  1    Section 1.  Section 423.2, subsection 4, unnumbered
  1  2 paragraph 2, Code 2007, is amended to read as follows:
  1  3    The tax imposed under this subsection covers the total
  1  4 amount from the operation of games of skill, games of chance,
  1  5 and raffles, and bingo games as defined in chapter 99B, and
  1  6 musical devices, weighing machines, shooting galleries,
  1  7 billiard and pool tables, bowling alleys, pinball machines,
  1  8 slot=operated devices selling merchandise not subject to the
  1  9 general sales taxes, the total amount less amounts awarded as
  1 10 prizes from the operation of bingo games as defined in chapter
  1 11 99B, and on the total amount from devices or systems where
  1 12 prizes are in any manner awarded to patrons and upon the
  1 13 receipts from fees charged for participation in any game or
  1 14 other form of amusement, and generally upon the sales price
  1 15 from any source of amusement operated for profit, not
  1 16 specified in this section, and upon the sales price from which
  1 17 tax is not collected for tickets or admission, but tax shall
  1 18 not be imposed upon any activity exempt from sales tax under
  1 19 section 423.3, subsection 78.  Every person receiving any
  1 20 sales price from the sources described in this section is
  1 21 subject to all provisions of this subchapter relating to
  1 22 retail sales tax and other provisions of this chapter as
  1 23 applicable.
  1 24                           EXPLANATION
  1 25    Under current law, the state sales and use tax is imposed
  1 26 on the gross amount derived from the operation of bingo games.
  1 27 This bill imposes the tax only on the gross amount less the
  1 28 amounts awarded as prizes.
  1 29 LSB 2510SS 82
  1 30 mg:rj/gg/14