House File 265 - Introduced HOUSE FILE 265 BY KRESSIG , JACOBY , ISENHART , HALL , WOLFE , BEARINGER , GAINES , RUNNING-MARQUARDT , WOOD , MUHLBAUER , STECKMAN , KAJTAZOVIC , MURPHY , and HUNTER A BILL FOR An Act providing a sales tax exemption for sales of textbooks 1 for limited time periods annually and including effective 2 date provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1913YH (4) 85 mm/sc

H.F. 265 Section 1. Section 423.3, Code 2013, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 99. a. The sales price of new and used 3 textbooks for use in attending a postsecondary educational 4 institution if the sale takes place during the period beginning 5 at 12:01 a.m. on the third Friday in August and ending at 6 midnight on the following Saturday, or during the period 7 beginning at 12:01 a.m. on the second Friday in January and 8 ending at midnight on the following Saturday. 9 b. For purposes of this subsection: 10 (1) “Postsecondary educational institution” means an 11 accredited higher education institution as defined in section 12 261.92, an Iowa community college, a postsecondary educational 13 institution under the control of the state board of regents, a 14 school of cosmetology arts and sciences licensed under chapter 15 157, or a barber school licensed under chapter 158. 16 (2) “Textbooks” means books and other printed materials used 17 in attending a postsecondary educational institution in this 18 state. 19 c. Postsecondary educational institutions are required 20 to provide the titles of required and recommended textbooks 21 for all courses and the corresponding authors, publishers, 22 and international standard book numbers for such textbooks on 23 the postsecondary educational institution’s internet site for 24 access to all booksellers and all students. The state board 25 of regents shall designate the format by which the textbook 26 information shall be provided. 27 d. In order to receive the sales tax exemption, a person is 28 required to show a current official identification card from a 29 postsecondary educational institution and either the purchaser 30 or the bookseller must show that a textbook intended to be 31 purchased is on a list of textbooks provided by a postsecondary 32 educational institution under paragraph “c” . 33 Sec. 2. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 34 immediate importance, takes effect upon enactment. 35 -1- LSB 1913YH (4) 85 mm/sc 1/ 2

H.F. 265 EXPLANATION 1 This bill provides an annual limited-time sales tax 2 exemption for textbooks used in attending a public or private 3 Iowa postsecondary educational institution, including licensed 4 cosmetology and barber schools. “Textbooks” is defined as 5 books and other printed materials. 6 Postsecondary educational institutions are required to 7 provide the titles of textbooks for all courses and the 8 authors, publishers, and corresponding international standard 9 book numbers for the textbooks on the institution’s internet 10 site in order for all booksellers and students to have access 11 to the information. The state board of regents is required to 12 provide the format in which the textbook information must be 13 provided. 14 In order to qualify for the exemption, the textbook sale 15 must take place during the period beginning at 12:01 a.m. 16 on the third Friday in August and ending at midnight on the 17 following Saturday, or during the period beginning at 12:01 18 a.m. on the second Friday in January and ending at midnight 19 on the following Saturday, and a person must show a current 20 official identification card from a postsecondary educational 21 institution and either the purchaser or the bookseller must 22 show that the textbook intended to be purchased is on an 23 institution’s textbooks list. 24 By operation of Code section 423.6, an item exempt from the 25 imposition of the sales tax is also exempt from the use tax 26 imposed in Code section 423.5. 27 The bill takes effect upon enactment. 28 -2- LSB 1913YH (4) 85 mm/sc 2/ 2