Senate Study Bill 3275 



                                       SENATE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            WAYS AND MEANS BILL BY
                                            CHAIRPERSON BOLKCOM)


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

                                      A BILL FOR

  1 An Act relating to providing information to certain persons about
  2    the availability of volunteer income tax assistance programs
  3    and the federal and state earned income tax credits.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 6067SC 82
  6 mg/sc/5

PAG LIN



  1  1    Section 1.  NEW SECTION.  217.47  DISTRIBUTION OF EARNED
  1  2 INCOME TAX CREDIT INFORMATION.
  1  3    1.  The department shall ensure that educational materials
  1  4 relating to the federal and state earned income tax credits
  1  5 are provided in accordance with this section to each person
  1  6 receiving assistance or benefits under:
  1  7    a.  The hawk=i program under chapter 514I.
  1  8    b.  The family investment program under chapter 239B.
  1  9    c.  The medical assistance Act under chapter 249A.
  1 10    d.  The food programs defined in section 234.1.
  1 11    e.  Any other appropriate programs administered by, or
  1 12 under the oversight, of the department of human services.
  1 13    2.  The department shall, by mail or through the internet,
  1 14 provide a person described in subsection 1 with access to:
  1 15    a.  Internal revenue service publications relating to the
  1 16 federal earned income tax credit.
  1 17    b.  Department of revenue publications relating to the
  1 18 state earned income tax credit.
  1 19    c.  Information prepared by tax preparers who provide free
  1 20 federal or state income tax preparation services to low=income
  1 21 and other eligible persons and who are located in close
  1 22 geographic proximity to the person.
  1 23    3.  In January of each year, the department or a
  1 24 representative of the department shall mail to each person
  1 25 described in subsection 1 information about the federal and
  1 26 state earned income tax credit that provides the person with
  1 27 referrals to the resources described in subsection 2.
  1 28    Sec. 2.  Section 252B.5, Code Supplement 2007, is amended
  1 29 by adding the following new subsection:
  1 30    NEW SUBSECTION.  4A.  a.  In order to maximize the amount
  1 31 of any tax refund to which an obligor may be entitled and
  1 32 which may be applied to child support and medical support
  1 33 obligations, cooperate with any volunteer income tax
  1 34 assistance programs in the state in informing obligors of the
  1 35 availability of the programs.
  2  1    b.  The child support recovery unit shall publicize the
  2  2 services of the volunteer income tax assistance programs by
  2  3 distributing printed materials regarding the programs.
  2  4                           EXPLANATION
  2  5    This bill relates to income tax assistance to be provided
  2  6 by the department of human services.
  2  7    The bill directs the department to provide to certain
  2  8 individuals materials and publications related to the federal
  2  9 and state earned income tax credits.  These individuals are
  2 10 those in the child health (hawk=i) program, the family
  2 11 assistance program, the medical assistance programs, the food
  2 12 stamp program, and other appropriate programs administered or
  2 13 overseen by the department.  The publications or materials
  2 14 provided would be those from the internal revenue service, the
  2 15 department of revenue, and tax preparers that provide services
  2 16 to low=income and other eligible persons.
  2 17    The bill also requires the child support recovery unit to
  2 18 assist obligors of child support and medical support
  2 19 obligations to maximize their tax refunds by publicizing the
  2 20 services of volunteer income tax assistance programs and by
  2 21 distributing materials regarding the programs.
  2 22 LSB 6067SC 82
  2 23 mg/sc/5