House Study Bill 673 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON SANDS) A BILL FOR An Act relating to the income tax checkoffs for the child 1 abuse prevention program fund and the veterans trust fund 2 and volunteer fire fighter preparedness fund, and including 3 retroactive applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 6107HC (1) 84 mm/sc

H.F. _____ Section 1. Section 35A.13, subsection 2, Code Supplement 1 2011, is amended by adding the following new paragraph: 2 NEW PARAGRAPH . c. Moneys credited to the fund pursuant to 3 an income tax checkoff provided in chapter 422, division II, 4 if applicable. 5 Sec. 2. Section 100B.13, subsection 2, paragraph a, Code 6 2011, is amended to read as follows: 7 a. Moneys credited to the fund pursuant to section 422.12G 8 an income tax checkoff provided in chapter 422, division II, 9 if applicable . 10 Sec. 3. Section 235A.2, subsection 1, Code 2011, is amended 11 to read as follows: 12 1. A child abuse prevention program fund is created in 13 the state treasury under the control of the department of 14 human services. The fund is composed of moneys appropriated 15 or available to and obtained or accepted by the treasurer of 16 state for deposit in the fund. The fund shall include moneys 17 transferred to the fund as provided in section 422.12F pursuant 18 to an income tax checkoff provided in chapter 422, division II, 19 if applicable . All interest earned on moneys in the fund shall 20 be credited to and remain in the fund. Section 8.33 does not 21 apply to moneys in the fund. 22 Sec. 4. NEW SECTION . 422.12K Income tax checkoff for child 23 abuse prevention program fund. 24 1. A person who files an individual or a joint income tax 25 return with the department of revenue under section 422.13 may 26 designate one dollar or more to be paid to the child abuse 27 prevention program fund created in section 235A.2. If the 28 refund due on the return or the payment remitted with the 29 return is insufficient to pay the additional amount designated 30 by the taxpayer to the child abuse prevention program fund, 31 the amount designated shall be reduced to the remaining amount 32 remitted with the return. The designation of a contribution 33 to the child abuse prevention program fund under this section 34 is irrevocable. 35 -1- LSB 6107HC (1) 84 mm/sc 1/ 3

H.F. _____ 2. The director of revenue shall draft the income tax form 1 to allow the designation of contributions to the child abuse 2 prevention program fund on the tax return. The department of 3 revenue, on or before January 31, shall transfer the total 4 amount designated on the tax return forms due in the preceding 5 calendar year to the child abuse prevention program fund. 6 However, before a checkoff pursuant to this section shall be 7 permitted, all liabilities on the books of the department of 8 administrative services and accounts identified as owing under 9 section 8A.504 and the political contribution allowed under 10 section 68A.601 shall be satisfied. 11 3. The department of human services may authorize payment 12 of moneys from the child abuse prevention program fund in 13 accordance with section 235A.2. 14 4. The department of revenue shall adopt rules to administer 15 this section. 16 5. This section is subject to repeal under section 422.12E. 17 Sec. 5. NEW SECTION . 422.12L Joint income tax checkoff for 18 veterans trust fund and volunteer fire fighter preparedness fund. 19 1. A person who files an individual or a joint income tax 20 return with the department of revenue under section 422.13 may 21 designate one dollar or more to be paid jointly to the veterans 22 trust fund created in section 35A.13 and to the volunteer fire 23 fighter preparedness fund created in section 100B.13. If the 24 refund due on the return or the payment remitted with the 25 return is insufficient to pay the additional amount designated 26 by the taxpayer, the amount designated shall be reduced to the 27 remaining amount of refund or the remaining amount remitted 28 with the return. The designation of a contribution under this 29 section is irrevocable. 30 2. The director of revenue shall draft the income tax form 31 to allow the designation of contributions to the veterans trust 32 fund and to the volunteer fire fighter preparedness fund as 33 one checkoff on the tax return. The department of revenue, 34 on or before January 31, shall transfer one-half of the total 35 -2- LSB 6107HC (1) 84 mm/sc 2/ 3

H.F. _____ amount designated on the tax return forms due in the preceding 1 calendar year to the veterans trust fund and the remaining 2 one-half to the volunteer fire fighter preparedness fund. 3 However, before a checkoff pursuant to this section shall be 4 permitted, all liabilities on the books of the department of 5 administrative services and accounts identified as owing under 6 section 8A.504 and the political contribution allowed under 7 section 68A.601 shall be satisfied. 8 3. The department of revenue shall adopt rules to administer 9 this section. 10 4. This section is subject to repeal under section 422.12E. 11 Sec. 6. RETROACTIVE APPLICABILITY. This Act applies 12 retroactively to January 1, 2012, for tax years beginning on 13 or after that date. 14 EXPLANATION 15 This bill relates to the income tax checkoffs for the child 16 abuse prevention program fund and the veterans trust fund and 17 volunteer fire fighter preparedness fund. 18 Code section 422.12E limits to four the number of income tax 19 checkoffs that can appear on the income tax return. When the 20 same four income tax return checkoffs have been provided on the 21 income tax return for two consecutive years, the two checkoffs 22 for which the least amount has been contributed through March 23 15 of the second tax year are automatically repealed. 24 The bill reenacts as new the checkoffs for both the child 25 abuse prevention program fund and the veterans trust fund and 26 volunteer fire fighter preparedness fund. 27 The bill also makes conforming amendments to Code sections 28 35A.13, 100B.13, and 235A.2, relating to the funds that receive 29 the moneys from the checkoffs, to update references to the 30 income tax checkoffs. 31 The bill applies retroactively to January 1, 2012, for tax 32 years beginning on or after that date. 33 -3- LSB 6107HC (1) 84 mm/sc 3/ 3