House File 319 - Introduced HOUSE FILE BY WINDSCHITL, SANDS, TYMESON, WATTS, HUSEMAN, SCHULTZ, LUKAN, HAGENOW, KAUFMANN, DE BOEF, RAECKER, SODERBERG, and MAY Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act providing an exemption from the computation of the 2 individual state income tax all pay received for active duty 3 military service and including a retroactive applicability 4 date provision. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 1935YH 83 7 tw/mg:sc/8 PAG LIN 1 1 Section 1. Section 422.7, Code 2009, is amended by adding 1 2 the following new subsection: 1 3 NEW SUBSECTION. 42A. Subtract, to the extent included, 1 4 all pay received by the taxpayer from the federal government 1 5 for military service performed while on active duty status in 1 6 the armed forces, the armed forces military reserve, or the 1 7 national guard. 1 8 Sec. 2. RETROACTIVE APPLICABILITY. This Act applies 1 9 retroactively to January 1, 2009, for tax years beginning on 1 10 or after that date. 1 11 EXPLANATION 1 12 This bill exempts from the individual income tax all pay 1 13 received by a taxpayer from the federal government for 1 14 military service performed while on active duty status in the 1 15 armed forces, the armed forces military reserve, or the 1 16 national guard. 1 17 The bill applies retroactively to January 1, 2009, for tax 1 18 years beginning on or after that date. 1 19 LSB 1935YH 83 1 20 tw/mg:sc/8