Senate
Study
Bill
3117
-
Introduced
SENATE/HOUSE
FILE
_____
BY
(PROPOSED
DEPARTMENT
OF
REVENUE
BILL)
A
BILL
FOR
An
Act
relating
to
the
technical
administration
of
the
tax
and
1
related
laws
of
the
state,
including
administration
by
the
2
department
of
revenue
of
certain
tax
credits
and
refunds,
3
income
taxes,
sales
and
use
taxes,
hotel
and
motel
taxes,
4
and
equipment
taxes,
and
modifying
provisions
relating
5
to
the
property
assessment
appeal
board,
and
including
6
effective
date
and
retroactive
applicability
provisions.
7
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
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DIVISION
I
1
MISCELLANEOUS
ADMINISTRATIVE
CHANGES
2
Section
1.
Section
421.17,
Code
2014,
is
amended
by
adding
3
the
following
new
subsection:
4
NEW
SUBSECTION
.
33.
To
adopt
rules
ensuring
that
the
total
5
amount
of
transfers
and
disbursements
in
a
fiscal
year
by
the
6
department
to
a
local
government
or
other
entity
with
respect
7
to
projects
under
chapter
15J,
chapter
418,
or
section
423B.10
8
does
not
exceed
the
amount
of
applicable
taxes
collected
during
9
the
same
fiscal
year
within
the
geographic
boundaries
of
the
10
reinvestment
districts,
governmental
entities,
or
urban
renewal
11
areas
in
which
such
projects
are
located.
12
Sec.
2.
Section
441.37A,
subsection
1,
paragraph
e,
Code
13
2014,
is
amended
to
read
as
follows:
14
e.
For
the
assessment
year
beginning
January
1,
2014,
the
15
The
property
assessment
appeal
board
may,
by
rule,
provide
16
for
the
filing
of
a
notice
of
appeal
and
petition
with
the
17
secretary
of
the
board
by
electronic
means.
All
requirements
18
of
this
section
for
an
appeal
to
the
board
shall
apply
to
an
19
appeal
filed
electronically.
20
DIVISION
II
21
TAX
CREDITS
AND
REFUNDS
22
Sec.
3.
Section
15.293A,
subsection
2,
paragraph
b,
23
subparagraph
(1),
Code
2014,
is
amended
to
read
as
follows:
24
(1)
To
claim
a
redevelopment
tax
credit
under
this
25
section
,
a
taxpayer
must
attach
include
one
or
more
tax
credit
26
certificates
to
with
the
taxpayer’s
tax
return.
A
tax
credit
27
certificate
shall
not
be
used
or
attached
to
included
with
a
28
return
filed
for
a
taxable
year
beginning
prior
to
July
1,
29
2009.
30
Sec.
4.
Section
15.331C,
subsection
2,
Code
2014,
is
amended
31
to
read
as
follows:
32
2.
A
third-party
developer
shall
state
under
oath,
on
33
forms
provided
by
the
department
of
revenue,
the
amount
of
34
taxes
paid
as
described
in
subsection
1
and
shall
submit
such
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forms
to
the
department
of
revenue.
The
taxes
paid
shall
be
1
itemized
to
allow
identification
of
the
taxes
attributable
2
to
racks,
shelving,
and
conveyor
equipment
to
be
used
in
a
3
warehouse
or
distribution
center.
After
receiving
the
form
4
from
the
third-party
developer,
the
department
of
revenue
5
shall
issue
a
tax
credit
certificate
to
the
eligible
business
6
equal
to
the
sales
and
use
taxes
paid
by
a
third-party
7
developer
under
chapter
423
for
gas,
electricity,
water,
or
8
sewer
utility
services,
goods,
wares,
or
merchandise,
or
9
on
services
rendered,
furnished,
or
performed
to
or
for
a
10
contractor
or
subcontractor
and
used
in
the
fulfillment
of
a
11
written
contract
relating
to
the
construction
or
equipping
12
of
a
facility.
The
department
of
revenue
shall
also
issue
a
13
tax
credit
certificate
to
the
eligible
business
equal
to
the
14
taxes
paid
and
attributable
to
racks,
shelving,
and
conveyor
15
equipment
to
be
used
in
a
warehouse
or
distribution
center.
16
The
aggregate
combined
total
amount
of
tax
refunds
under
17
section
15.331A
for
taxes
attributable
to
racks,
shelving,
and
18
conveyor
equipment
to
be
used
in
a
warehouse
or
distribution
19
center
and
of
tax
credit
certificates
issued
by
the
department
20
of
revenue
for
the
taxes
paid
and
attributable
to
racks,
21
shelving,
and
conveyor
equipment
to
be
used
in
a
warehouse
or
22
distribution
center
shall
not
exceed
five
hundred
thousand
23
dollars
in
a
fiscal
year.
If
an
applicant
for
a
tax
credit
24
certificate
does
not
receive
a
certificate
for
the
taxes
paid
25
and
attributable
to
racks,
shelving,
and
conveyor
equipment
to
26
be
used
in
a
warehouse
or
distribution
center,
the
application
27
shall
be
considered
in
succeeding
fiscal
years.
The
eligible
28
business
shall
not
claim
a
tax
credit
under
this
section
29
unless
a
tax
credit
certificate
issued
by
the
department
of
30
revenue
is
attached
to
included
with
the
taxpayer’s
tax
return
31
for
the
tax
year
for
which
the
tax
credit
is
claimed.
A
tax
32
credit
certificate
shall
contain
the
eligible
business’s
33
name,
address,
tax
identification
number,
the
amount
of
the
34
tax
credit,
and
other
information
deemed
necessary
by
the
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department
of
revenue.
1
Sec.
5.
Section
15E.44,
subsection
4,
Code
2014,
is
amended
2
to
read
as
follows:
3
4.
After
verifying
the
eligibility
of
a
qualifying
4
business,
the
authority
shall
issue
a
tax
credit
certificate
to
5
be
attached
to
included
with
the
equity
investor’s
tax
return.
6
The
tax
credit
certificate
shall
contain
the
taxpayer’s
name,
7
address,
tax
identification
number,
the
amount
of
credit,
the
8
name
of
the
qualifying
business,
and
other
information
required
9
by
the
department
of
revenue.
The
tax
credit
certificate,
10
unless
rescinded
by
the
authority,
shall
be
accepted
by
the
11
department
of
revenue
as
payment
for
taxes
imposed
pursuant
12
to
chapter
422,
divisions
II,
III,
and
V
,
and
in
chapter
13
432
,
and
for
the
moneys
and
credits
tax
imposed
in
section
14
533.329
,
subject
to
any
conditions
or
restrictions
placed
by
15
the
authority
upon
the
face
of
the
tax
credit
certificate
and
16
subject
to
the
limitations
of
section
15E.43
.
17
Sec.
6.
Section
15E.45,
subsection
4,
Code
2014,
is
amended
18
to
read
as
follows:
19
4.
After
verifying
the
eligibility
of
the
community-based
20
seed
capital
fund,
the
authority
shall
issue
a
tax
credit
21
certificate
to
be
attached
to
included
with
the
taxpayer’s
22
tax
return.
The
tax
credit
certificate
shall
contain
the
23
taxpayer’s
name,
address,
tax
identification
number,
the
amount
24
of
the
tax
credit,
the
name
of
the
community-based
seed
capital
25
fund,
and
other
information
required
by
the
department
of
26
revenue.
The
tax
credit
certificate,
unless
rescinded
by
the
27
authority,
shall
be
accepted
by
the
department
of
revenue
or
28
a
local
taxing
district,
as
applicable,
as
payment
for
taxes
29
imposed
pursuant
to
chapter
422,
divisions
II,
III,
and
V
,
and
30
chapter
432
,
and
as
payment
for
the
moneys
and
credits
tax
31
imposed
pursuant
to
section
533.329
,
subject
to
any
conditions
32
or
restrictions
placed
by
the
authority
on
the
face
of
the
tax
33
credit
certificate
and
subject
to
the
limitations
of
section
34
15E.43
.
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Sec.
7.
Section
15E.193B,
subsection
6,
paragraph
a,
Code
1
2014,
is
amended
to
read
as
follows:
2
a.
An
eligible
housing
business
may
claim
a
tax
credit
3
up
to
a
maximum
of
ten
percent
of
the
new
investment
which
4
is
directly
related
to
the
building
or
rehabilitating
of
a
5
minimum
of
four
single-family
homes
located
in
that
part
of
6
a
city
or
county
in
which
there
is
a
designated
enterprise
7
zone
or
one
multiple
dwelling
unit
building
containing
three
8
or
more
individual
dwelling
units
located
in
that
part
of
a
9
city
or
county
in
which
there
is
a
designated
enterprise
zone.
10
The
new
investment
that
may
be
used
to
compute
the
tax
credit
11
shall
not
exceed
the
new
investment
used
for
the
first
one
12
hundred
forty
thousand
dollars
of
value
for
each
single-family
13
home
or
for
each
unit
of
a
multiple
dwelling
unit
building
14
containing
three
or
more
units.
The
tax
credit
may
be
used
to
15
reduce
the
tax
liability
liabilities
imposed
under
chapter
422,
16
division
divisions
II,
III,
or
and
V
,
or
and
chapter
432
.
Any
17
credit
in
excess
of
the
tax
liability
for
the
tax
year
may
be
18
credited
to
the
tax
liability
for
the
following
seven
years
or
19
until
depleted,
whichever
occurs
earlier.
If
the
business
is
20
a
partnership,
S
corporation,
limited
liability
company,
or
21
estate
or
trust
electing
to
have
the
income
taxed
directly
to
22
the
individual,
an
individual
may
claim
the
tax
credit
allowed.
23
The
amount
claimed
by
the
individual
shall
be
based
upon
the
24
pro
rata
share
of
the
individual’s
earnings
of
the
partnership,
25
S
corporation,
limited
liability
company,
or
estate
or
trust
26
except
as
allowed
for
under
subsection
8
when
low-income
27
housing
tax
credits
authorized
under
section
42
of
the
Internal
28
Revenue
Code
are
used
to
assist
in
the
financing
of
the
housing
29
development.
30
Sec.
8.
Section
15E.193B,
subsection
8,
Code
2014,
is
31
amended
to
read
as
follows:
32
8.
a.
The
amount
of
the
tax
credits
determined
pursuant
33
to
subsection
6
,
paragraph
“a”
,
for
each
project
shall
be
34
approved
by
the
economic
development
authority.
The
authority
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shall
utilize
the
financial
information
required
to
be
provided
1
under
subsection
5
,
paragraph
“e”
,
to
determine
the
tax
credits
2
allowed
for
each
project.
In
determining
the
amount
of
tax
3
credits
to
be
allowed
for
a
project,
the
authority
shall
not
4
include
the
portion
of
the
project
cost
financed
through
5
federal,
state,
and
local
government
tax
credits,
grants,
6
and
forgivable
loans.
Upon
approving
the
amount
of
the
tax
7
credit,
the
economic
development
authority
shall
issue
a
tax
8
credit
certificate
to
the
eligible
housing
business
except
9
when
low-income
housing
tax
credits
authorized
under
section
10
42
of
the
Internal
Revenue
Code
are
used
to
assist
in
the
11
financing
of
the
housing
development
in
which
case
the
tax
12
credit
certificate
may
be
issued
to
a
partner
if
the
business
13
is
a
partnership,
a
shareholder
if
the
business
is
an
S
14
corporation,
or
a
member
if
the
business
is
a
limited
liability
15
company
in
the
amounts
designated
by
the
eligible
partnership,
16
S
corporation,
or
limited
liability
company.
An
eligible
17
housing
business
or
the
designated
partner
if
the
business
is
18
a
partnership,
designated
shareholder
if
the
business
is
an
S
19
corporation,
or
designated
member
if
the
business
is
a
limited
20
liability
company,
or
transferee
shall
not
claim
the
tax
credit
21
unless
a
tax
credit
certificate
is
attached
to
included
with
22
the
taxpayer’s
return
for
the
tax
year
for
which
the
tax
23
credit
is
claimed.
The
tax
credit
certificate
shall
contain
24
the
taxpayer’s
name,
address,
tax
identification
number,
the
25
amount
of
the
tax
credit,
and
other
information
required
by
26
the
department
of
revenue.
The
tax
credit
certificate
shall
27
be
transferable
if
the
housing
development
is
located
in
a
28
brownfield
site
as
defined
in
section
15.291
,
if
the
housing
29
development
is
located
in
a
blighted
area
as
defined
in
section
30
403.17
,
or
if
low-income
housing
tax
credits
authorized
under
31
section
42
of
the
Internal
Revenue
Code
are
used
to
assist
in
32
the
financing
of
the
housing
development.
Not
more
than
three
33
million
dollars
worth
of
tax
credits
for
housing
developments
34
that
are
located
in
a
brownfield
site
as
defined
in
section
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15.291
or
housing
developments
located
in
a
blighted
area
as
1
defined
in
section
403.17
shall
be
transferred
in
one
calendar
2
year.
The
three
million
dollar
annual
limit
does
not
apply
3
to
tax
credits
awarded
to
an
eligible
housing
business
having
4
low-income
housing
tax
credits
authorized
under
section
42
of
5
the
Internal
Revenue
Code
to
assist
in
the
financing
of
the
6
housing
development.
The
authority
may
approve
an
application
7
for
tax
credit
certificates
for
transfer
from
an
eligible
8
housing
business
located
in
a
brownfield
site
as
defined
in
9
section
15.291
or
in
a
blighted
area
as
defined
in
section
10
403.17
that
would
result
in
the
issuance
of
more
than
three
11
million
dollars
of
tax
credit
certificates
for
transfer,
12
provided
the
authority,
through
negotiation
with
the
eligible
13
business,
allocates
those
tax
credit
certificates
for
transfer
14
over
more
than
one
calendar
year.
The
authority
shall
not
15
approve
more
than
one
million
five
hundred
thousand
dollars
16
in
tax
credit
certificates
for
transfer
to
any
one
eligible
17
housing
business
located
in
a
brownfield
site
as
defined
in
18
section
15.291
or
in
a
blighted
area
as
defined
in
section
19
403.17
in
a
calendar
year.
If
three
million
dollars
in
tax
20
credit
certificates
for
transfer
have
not
been
issued
at
the
21
end
of
a
calendar
year,
the
remaining
tax
credit
certificates
22
for
transfer
may
be
issued
in
advance
to
an
eligible
housing
23
business
scheduled
to
receive
a
tax
credit
certificate
for
24
transfer
in
a
later
calendar
year.
Any
time
the
authority
25
approves
a
tax
credit
certificate
for
transfer
which
has
not
26
been
allocated
at
the
end
of
a
calendar
year,
the
authority
may
27
prorate
the
remaining
certificates
to
more
than
one
eligible
28
applicant.
If
the
entire
three
million
dollars
of
tax
credit
29
certificates
for
transfer
is
not
issued
in
a
given
calendar
30
year,
the
remaining
amount
may
be
carried
over
to
a
succeeding
31
calendar
year.
Tax
credit
certificates
issued
under
this
32
chapter
may
be
transferred
to
any
person
or
entity.
The
33
economic
development
authority
shall
notify
the
department
34
of
revenue
of
the
tax
credit
certificates
which
have
been
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approved
for
transfer.
Within
ninety
days
of
transfer,
the
1
transferee
must
submit
the
transferred
tax
credit
certificate
2
to
the
department
of
revenue
along
with
a
statement
containing
3
the
transferee’s
name,
tax
identification
number,
and
4
address,
and
the
denomination
that
each
replacement
tax
credit
5
certificate
is
to
carry
and
any
other
information
required
by
6
the
department
of
revenue.
Within
thirty
days
of
receiving
7
the
transferred
tax
credit
certificate
and
the
transferee’s
8
statement,
the
department
of
revenue
shall
issue
one
or
more
9
replacement
tax
credit
certificates
to
the
transferee.
Each
10
replacement
certificate
must
contain
the
information
required
11
to
receive
the
original
certificate
and
must
have
the
same
12
expiration
date
that
appeared
in
the
transferred
tax
credit
13
certificate.
Tax
credit
certificate
amounts
of
less
than
the
14
minimum
amount
established
by
rule
of
the
economic
development
15
authority
shall
not
be
transferable.
A
tax
credit
shall
not
be
16
claimed
by
a
transferee
under
subsection
6
,
paragraph
“a”
,
until
17
a
replacement
tax
credit
certificate
identifying
the
transferee
18
as
the
proper
holder
has
been
issued.
19
b.
The
transferee
may
use
the
amount
of
the
tax
credit
20
transferred
against
the
taxes
imposed
under
chapter
422,
21
divisions
II,
III,
and
V
,
and
chapter
432
for
any
tax
year
the
22
original
transferor
could
have
claimed
the
tax
credit.
Any
23
consideration
received
for
the
transfer
of
the
tax
credit
shall
24
not
be
included
as
income
under
chapter
422,
divisions
II,
III,
25
and
V
.
Any
consideration
paid
for
the
transfer
of
the
tax
26
credit
shall
not
be
deducted
from
income
under
chapter
422,
27
divisions
II,
III,
and
V
.
28
Sec.
9.
Section
16.211,
subsection
2,
paragraphs
a
and
b,
29
Code
2014,
are
amended
to
read
as
follows:
30
a.
To
claim
a
disaster
recovery
housing
project
tax
31
credit
under
this
section
,
a
taxpayer
must
attach
include
one
32
or
more
tax
credit
certificates
to
with
the
taxpayer’s
tax
33
return.
The
tax
credit
certificate
or
certificates
attached
34
to
included
with
the
taxpayer’s
tax
return
shall
be
issued
in
35
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_____
H.F.
_____
the
taxpayer’s
name,
expire
on
or
after
the
last
day
of
the
1
taxable
year
for
which
the
taxpayer
is
claiming
the
tax
credit,
2
and
show
a
tax
credit
amount
equal
to
or
greater
than
the
tax
3
credit
claimed
on
the
taxpayer’s
tax
return.
4
b.
After
verifying
the
eligibility
of
a
taxpayer
for
a
tax
5
credit
pursuant
to
this
section
,
the
authority
shall
issue
a
6
disaster
recovery
housing
project
tax
credit
certificate
to
be
7
attached
to
included
with
the
taxpayer’s
tax
return.
The
tax
8
credit
certificate
shall
contain
the
taxpayer’s
name,
address,
9
tax
identification
number;
the
amount
of
the
credit;
and
any
10
other
information
required
by
the
department
of
revenue.
11
Sec.
10.
Section
175.37,
subsection
7,
unnumbered
paragraph
12
1,
Code
2014,
is
amended
to
read
as
follows:
13
A
taxpayer
shall
not
claim
a
tax
credit
under
this
section
14
unless
a
tax
credit
certificate
issued
by
the
authority
is
15
attached
to
included
with
the
taxpayer’s
tax
return
for
the
16
tax
year
for
which
the
tax
credit
is
claimed.
The
authority
17
must
review
and
approve
an
application
for
a
tax
credit
as
18
provided
by
rules
adopted
by
the
authority.
The
application
19
must
include
a
copy
of
the
agricultural
assets
transfer
20
agreement.
The
authority
may
approve
an
application
and
issue
21
a
tax
credit
certificate
to
a
taxpayer
who
has
previously
been
22
allowed
a
tax
credit
under
this
section
.
The
authority
may
23
require
that
the
parties
to
an
agricultural
assets
transfer
24
agreement
provide
additional
information
as
determined
relevant
25
by
the
authority.
The
authority
shall
review
an
application
26
for
a
tax
credit
which
includes
the
renewal
of
an
agricultural
27
assets
transfer
agreement
to
determine
that
the
parties
to
the
28
renewed
agreement
meet
the
same
qualifications
as
required
for
29
an
original
application.
The
authority
shall
not
approve
an
30
application
or
issue
a
tax
credit
certificate
to
a
taxpayer
for
31
an
amount
in
excess
of
fifty
thousand
dollars.
In
addition,
32
the
authority
shall
not
approve
an
application
or
issue
a
33
certificate
to
a
taxpayer
if
any
of
the
following
applies:
34
Sec.
11.
Section
175.38,
subsection
10,
unnumbered
35
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_____
H.F.
_____
paragraph
1,
Code
2014,
is
amended
to
read
as
follows:
1
A
taxpayer
shall
not
claim
a
custom
farming
contract
tax
2
credit
unless
a
tax
credit
certificate
issued
by
the
authority
3
under
this
section
is
attached
to
included
with
the
taxpayer’s
4
tax
return
for
the
tax
year
for
which
the
tax
credit
is
5
claimed.
The
authority
must
review
and
approve
an
application
6
for
a
tax
credit
certificate
as
provided
by
rules
adopted
7
by
the
authority.
The
application
must
include
a
copy
of
8
the
custom
farming
contract.
The
authority
may
approve
an
9
application
and
issue
a
tax
credit
certificate
to
a
taxpayer
10
who
has
previously
been
allowed
a
tax
credit
under
this
11
section
.
The
authority
may
require
that
the
parties
to
the
12
contract
provide
additional
information
as
determined
relevant
13
by
the
authority.
The
authority
shall
review
an
application
14
for
a
tax
credit
certificate
which
includes
the
renewal
of
a
15
contract
to
determine
that
the
parties
to
the
renewed
contract
16
meet
the
same
qualifications
as
required
for
an
original
17
application.
The
authority
shall
not
approve
an
application
or
18
issue
a
tax
credit
certificate
to
a
taxpayer
for
an
amount
in
19
excess
of
fifty
thousand
dollars.
In
addition,
the
authority
20
shall
not
approve
an
application
or
issue
a
tax
credit
21
certificate
to
a
taxpayer
if
any
of
the
following
applies:
22
Sec.
12.
Section
404A.1,
subsection
1,
paragraph
a,
Code
23
2014,
is
amended
to
read
as
follows:
24
a.
A
historic
preservation
and
cultural
and
entertainment
25
district
tax
credit,
subject
to
the
availability
of
the
credit,
26
is
granted
against
the
tax
taxes
imposed
under
chapter
422,
27
division
divisions
II,
III,
or
and
V
,
or
and
chapter
432
,
for
28
the
substantial
rehabilitation
of
eligible
property
located
in
29
this
state
as
provided
in
this
chapter
.
30
Sec.
13.
Section
404A.4,
subsection
2,
unnumbered
paragraph
31
1,
Code
2014,
is
amended
to
read
as
follows:
32
After
verifying
the
eligibility
for
the
tax
credit,
the
33
state
historic
preservation
office
shall
issue
a
historic
34
preservation
and
cultural
and
entertainment
district
tax
credit
35
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19
S.F.
_____
H.F.
_____
certificate
to
be
attached
to
included
with
the
person’s
1
tax
return.
The
tax
credit
certificate
shall
contain
the
2
taxpayer’s
name,
address,
tax
identification
number,
the
date
3
of
project
completion,
the
amount
of
credit,
other
information
4
required
by
the
department
of
revenue,
and
a
place
for
the
name
5
and
tax
identification
number
of
a
transferee
and
the
amount
of
6
the
tax
credit
being
transferred.
Of
the
amount
of
tax
credits
7
that
may
be
approved
in
a
fiscal
year
pursuant
to
subsection
8
4
,
paragraph
“a”
:
9
Sec.
14.
Section
422.11S,
subsection
7,
paragraph
a,
Code
10
2014,
is
amended
to
read
as
follows:
11
a.
In
order
for
the
taxpayer
to
claim
the
school
tuition
12
organization
tax
credit
under
subsection
1
,
a
tax
credit
13
certificate
issued
by
the
school
tuition
organization
to
which
14
the
contribution
was
made
shall
be
attached
to
included
with
15
the
person’s
tax
return.
The
tax
credit
certificate
shall
16
contain
the
taxpayer’s
name,
address,
tax
identification
17
number,
the
amount
of
the
contribution,
the
amount
of
the
18
credit,
and
other
information
required
by
the
department.
19
Sec.
15.
Section
437A.17B,
Code
2014,
is
amended
to
read
as
20
follows:
21
437A.17B
Reimbursement
for
renewable
energy.
22
A
person
in
possession
of
a
wind
energy
tax
credit
23
certificate
issued
pursuant
to
chapter
476B
or
a
renewable
24
energy
tax
credit
certificate
issued
pursuant
to
chapter
476C
25
may
apply
to
the
director
for
a
reimbursement
of
the
amount
of
26
taxes
imposed
and
paid
by
the
person
pursuant
to
this
chapter
27
in
an
amount
not
more
than
the
person
received
in
wind
energy
28
tax
credit
certificates
pursuant
to
chapter
476B
or
renewable
29
energy
tax
credit
certificates
pursuant
to
chapter
476C
.
To
30
obtain
the
reimbursement,
the
person
shall
attach
to
include
31
with
the
return
required
under
section
437A.8
the
wind
energy
32
tax
credit
certificates
issued
to
the
person
pursuant
to
33
chapter
476B
,
or
the
renewable
energy
tax
credit
certificates
34
issued
to
the
person
pursuant
to
chapter
476C
,
and
provide
any
35
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19
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_____
H.F.
_____
other
information
the
director
may
require.
The
director
shall
1
direct
a
warrant
to
be
issued
to
the
person
for
an
amount
equal
2
to
the
tax
imposed
and
paid
by
the
person
pursuant
to
this
3
chapter
but
for
not
more
than
the
amount
of
the
wind
energy
tax
4
credit
certificates
or
renewable
energy
tax
credit
certificates
5
attached
to
included
with
the
return.
6
Sec.
16.
Section
476B.6,
subsection
8,
Code
2014,
is
amended
7
to
read
as
follows:
8
8.
A
tax
credit
certificate
shall
not
be
used
or
attached
9
to
included
with
a
return
filed
for
a
taxable
year
beginning
10
prior
to
July
1,
2006.
11
Sec.
17.
Section
476B.8,
Code
2014,
is
amended
to
read
as
12
follows:
13
476B.8
Use
of
tax
credit
certificates.
14
To
claim
a
wind
energy
production
tax
credit
under
this
15
chapter
,
a
taxpayer
must
attach
include
one
or
more
tax
credit
16
certificates
to
with
the
taxpayer’s
tax
return,
or
if
used
17
against
taxes
imposed
under
chapter
423
,
the
taxpayer
shall
18
comply
with
section
423.4,
subsection
4
,
or
if
used
against
19
taxes
imposed
under
chapter
437A
,
the
taxpayer
shall
comply
20
with
section
437A.17B
.
A
tax
credit
certificate
shall
not
21
be
used
or
attached
to
included
with
a
return
filed
for
a
22
taxable
year
beginning
prior
to
July
1,
2006.
The
tax
credit
23
certificate
or
certificates
attached
to
included
with
the
24
taxpayer’s
tax
return
shall
be
issued
in
the
taxpayer’s
name,
25
expire
on
or
after
the
last
day
of
the
taxable
year
for
which
26
the
taxpayer
is
claiming
the
tax
credit,
and
show
a
tax
credit
27
amount
equal
to
or
greater
than
the
tax
credit
claimed
on
28
the
taxpayer’s
tax
return.
Any
tax
credit
in
excess
of
the
29
taxpayer’s
tax
liability
for
the
taxable
year
may
be
credited
30
to
the
taxpayer’s
tax
liability
for
the
following
seven
taxable
31
years
or
until
depleted,
whichever
is
the
earlier.
If
the
tax
32
credit
is
applied
against
the
taxes
imposed
under
chapter
423
33
or
437A
,
any
credit
in
excess
of
the
taxpayer’s
tax
liability
34
is
carried
over
and
can
be
filed
with
the
refund
claim
for
35
-11-
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5311XD
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85
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19
S.F.
_____
H.F.
_____
the
following
seven
tax
years
or
until
depleted,
whichever
is
1
earlier.
However,
the
certificate
shall
not
be
used
to
reduce
2
tax
liability
for
a
tax
period
ending
after
the
expiration
date
3
of
the
certificate.
4
Sec.
18.
Section
476C.6,
subsection
2,
Code
2014,
is
amended
5
to
read
as
follows:
6
2.
To
claim
a
renewable
energy
tax
credit
under
this
7
chapter
,
a
taxpayer
must
attach
include
one
or
more
tax
credit
8
certificates
to
with
the
taxpayer’s
tax
return,
or
if
used
9
against
taxes
imposed
under
chapter
423
,
the
taxpayer
shall
10
comply
with
section
423.4,
subsection
4
,
or
if
used
against
11
taxes
imposed
under
chapter
437A
,
the
taxpayer
shall
comply
12
with
section
437A.17B
.
A
tax
credit
certificate
shall
not
13
be
used
or
attached
to
included
with
a
return
filed
for
a
14
taxable
year
beginning
prior
to
July
1,
2006.
The
tax
credit
15
certificate
or
certificates
attached
to
included
with
the
16
taxpayer’s
tax
return
shall
be
issued
in
the
taxpayer’s
name,
17
expire
on
or
after
the
last
day
of
the
taxable
year
for
which
18
the
taxpayer
is
claiming
the
tax
credit,
and
show
a
tax
credit
19
amount
equal
to
or
greater
than
the
tax
credit
claimed
on
20
the
taxpayer’s
tax
return.
Any
tax
credit
in
excess
of
the
21
taxpayer’s
tax
liability
for
the
taxable
year
may
be
credited
22
to
the
taxpayer’s
tax
liability
for
the
following
seven
tax
23
years
or
until
the
credit
is
depleted,
whichever
is
earlier.
24
If
the
tax
credit
is
applied
against
the
taxes
imposed
under
25
chapter
423
or
437A
,
any
credit
in
excess
of
the
taxpayer’s
26
tax
liability
is
carried
over
and
can
be
filed
with
the
refund
27
claim
for
the
following
seven
tax
years
or
until
depleted,
28
whichever
is
earlier.
However,
the
certificate
shall
not
be
29
used
to
reduce
tax
liability
for
a
tax
period
ending
after
the
30
expiration
date
of
the
certificate.
31
DIVISION
III
32
INCOME
TAXES
33
Sec.
19.
Section
422.7,
subsection
2,
paragraph
i,
Code
34
2014,
is
amended
by
striking
the
paragraph.
35
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85
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S.F.
_____
H.F.
_____
Sec.
20.
Section
422.13,
Code
2014,
is
amended
to
read
as
1
follows:
2
422.13
Return
by
individual.
3
1.
Except
as
provided
in
subsection
2
,
a
A
resident
or
4
nonresident
of
this
state
shall
make
a
return,
signed
in
5
accordance
with
forms
and
rules
prescribed
by
the
director,
if
6
any
of
the
following
are
applicable:
7
a.
The
individual
has
net
income
of
more
than
nine
thousand
8
dollars
for
the
tax
year
from
sources
taxable
under
this
9
division
.
10
b.
a.
The
individual
is
claimed
as
a
dependent
on
another
11
person’s
return
and
has
net
income
of
five
thousand
dollars
or
12
more
for
the
tax
year
from
sources
taxable
under
this
division
.
13
c.
b.
However,
if
that
part
of
the
The
net
income
of
a
14
nonresident
which
is
allocated
to
Iowa
pursuant
to
section
15
422.8,
subsection
2
,
is
less
than
one
thousand
dollars
the
16
nonresident
is
not
required
to
make
and
sign
a
return
except
17
when
the
or
more
for
the
tax
year
from
sources
taxable
under
18
this
division,
unless
the
nonresident’s
total
net
income,
19
as
determined
under
section
422.5,
subsection
3
or
3B,
does
20
not
exceed
the
appropriate
dollar
amount
listed
in
section
21
422.5,
subsection
3
or
3B,
upon
which
tax
is
not
imposed.
The
22
portion
of
a
lump
sum
distribution
that
is
allocable
to
Iowa
23
is
included
in
net
income
for
purposes
of
determining
if
the
24
nonresident’s
net
income
allocable
to
Iowa
is
one
thousand
25
dollars
or
more.
26
c.
A
nonresident
is
subject
to
the
state
alternative
minimum
27
tax
imposed
pursuant
to
section
422.5,
subsection
2
.
28
2.
d.
Notwithstanding
any
other
provision
in
this
section
,
29
The
total
net
income,
as
determined
under
section
422.5,
30
subsection
3
or
3B,
of
a
resident
or
nonresident
of
this
state
31
is
not
required
to
make
and
file
a
return
if
the
person’s
net
32
income
is
equal
to
or
less
more
than
the
appropriate
dollar
33
amount
listed
in
section
422.5,
subsection
3
or
3B
,
upon
34
which
tax
is
not
imposed.
A
nonresident
of
this
state
is
35
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_____
H.F.
_____
not
required
to
make
and
file
a
return
if
the
person’s
total
1
net
income
in
section
422.5,
subsection
1
,
paragraph
“j”
,
is
2
equal
to
or
less
than
the
appropriate
dollar
amount
provided
3
in
section
422.5,
subsection
3
,
upon
which
tax
is
not
imposed.
4
For
purposes
of
this
subsection
,
the
amount
of
a
lump
sum
5
distribution
subject
to
separate
federal
tax
shall
be
included
6
in
net
income
for
purposes
of
determining
if
a
resident
is
7
required
to
file
a
return
and
the
portion
of
the
lump
sum
8
distribution
that
is
allocable
to
Iowa
is
included
in
total
net
9
income
for
purposes
of
determining
if
a
nonresident
is
required
10
to
make
and
file
a
return.
11
3.
2.
For
purposes
of
determining
the
requirement
for
12
filing
a
return
under
subsection
1
,
the
combined
net
income
of
13
a
husband
and
wife
from
sources
taxable
under
this
division
14
shall
be
considered.
15
4.
3.
If
the
taxpayer
is
unable
to
make
the
return,
16
the
return
shall
be
made
by
a
duly
authorized
agent
or
by
a
17
guardian
or
other
person
charged
with
the
care
of
the
person
or
18
property
of
the
taxpayer.
19
5.
4.
A
nonresident
taxpayer
shall
file
a
copy
of
the
20
taxpayer’s
federal
income
tax
return
for
the
current
tax
year
21
with
the
return
required
by
this
section
.
22
6.
5.
a.
Notwithstanding
subsections
1
through
5
4
23
and
sections
422.15
and
422.36
,
a
partnership,
a
limited
24
liability
company
whose
members
are
taxed
on
the
company’s
25
income
under
provisions
of
the
Internal
Revenue
Code,
trust,
or
26
corporation
whose
stockholders
are
taxed
on
the
corporation’s
27
income
under
the
provisions
of
the
Internal
Revenue
Code
may,
28
not
later
than
the
due
date
for
filing
its
return
for
the
29
taxable
year,
including
any
extension
thereof,
elect
to
file
30
a
composite
return
for
the
nonresident
partners,
members,
31
beneficiaries,
or
shareholders.
Nonresident
trusts
or
estates
32
which
are
partners,
members,
beneficiaries,
or
shareholders
33
in
partnerships,
limited
liability
companies,
trusts,
or
S
34
corporations
may
also
be
included
on
a
composite
return.
The
35
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_____
H.F.
_____
director
may
require
that
a
composite
return
be
filed
under
the
1
conditions
deemed
appropriate
by
the
director.
A
partnership,
2
limited
liability
company,
trust,
or
corporation
filing
a
3
composite
return
is
liable
for
tax
required
to
be
shown
due
on
4
the
return.
5
b.
Notwithstanding
subsections
1
through
5
4
and
sections
6
422.15
and
422.36
,
if
the
director
determines
that
it
is
7
necessary
for
the
efficient
administration
of
this
chapter
,
8
the
director
may
require
that
a
composite
return
be
filed
9
for
nonresidents
other
than
nonresident
partners,
members,
10
beneficiaries
or
shareholders
in
partnerships,
limited
11
liability
companies,
trusts,
or
S
corporations.
12
c.
All
powers
of
the
director
and
requirements
of
the
13
director
apply
to
returns
filed
under
this
subsection
including
14
but
not
limited
to
the
provisions
of
this
division
and
division
15
VI
of
this
chapter
.
16
Sec.
21.
RETROACTIVE
APPLICABILITY.
This
division
of
this
17
Act
applies
retroactively
to
January
1,
2014,
for
tax
years
18
beginning
on
or
after
that
date.
19
DIVISION
IV
20
SALES
AND
USE
TAXES
21
Sec.
22.
Section
423.3,
subsection
18,
paragraph
e,
Code
22
2014,
is
amended
to
read
as
follows:
23
e.
Community
health
Health
centers
as
defined
in
42
U.S.C.
24
§
254c
and
migrant
health
centers
as
defined
in
42
U.S.C.
25
§254b.
26
DIVISION
V
27
HOTEL
AND
MOTEL
TAXES
28
Sec.
23.
Section
423A.6,
Code
2014,
is
amended
to
read
as
29
follows:
30
423A.6
Administration
by
director.
31
1.
The
director
of
revenue
shall
administer
the
state
and
32
local
hotel
and
motel
tax
as
nearly
as
possible
in
conjunction
33
with
the
administration
of
the
state
sales
tax
law,
except
34
that
portion
of
the
law
which
implements
the
streamlined
sales
35
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_____
H.F.
_____
and
use
tax
agreement.
The
director
shall
provide
appropriate
1
forms,
or
provide
on
the
regular
state
tax
forms,
for
reporting
2
state
and
local
hotel
and
motel
tax
liability.
All
moneys
3
received
or
refunded
one
hundred
eighty
days
after
the
date
on
4
which
a
city
or
county
terminates
its
local
hotel
and
motel
5
tax
and
all
moneys
received
from
the
state
hotel
and
motel
tax
6
shall
be
deposited
in
or
withdrawn
from
the
general
fund
of
the
7
state.
Beginning
8
2.
If
a
reinvestment
district
is
established
under
chapter
9
15J,
beginning
the
first
day
of
the
calendar
quarter
beginning
10
on
the
reinvestment
district’s
commencement
date,
the
director
11
of
revenue
shall,
subject
to
remittance
limitations
established
12
by
the
economic
development
authority
board
pursuant
to
section
13
15J.4,
subsection
3
,
transfer
from
the
general
fund
of
the
14
state
to
a
district
account
created
in
the
state
reinvestment
15
district
fund
for
each
reinvestment
district
established
16
under
chapter
15J
,
the
new
state
hotel
and
motel
tax
revenue,
17
determined
in
section
15J.5,
subsection
2
,
paragraph
“b”
,
in
18
the
district.
Such
transfers
shall
cease
pursuant
to
section
19
15J.8
.
20
2.
3.
The
director,
in
consultation
with
local
officials,
21
shall
collect
and
account
for
a
local
hotel
and
motel
tax
and
22
shall
credit
all
revenues
to
the
local
transient
guest
tax
fund
23
created
in
section
423A.7
.
Local
authorities
shall
not
require
24
any
tax
permit
not
required
by
the
director
of
revenue.
25
3.
4.
Section
422.25,
subsection
4
,
sections
422.30
,
26
422.67
,
and
422.68
,
section
422.69,
subsection
1
,
sections
27
422.70
,
422.71
,
422.72
,
422.74
,
and
422.75
,
section
423.14,
28
subsection
1
,
and
sections
423.23
,
423.24
,
423.25
,
423.31
,
29
423.33
,
423.35
,
423.37
through
423.42
,
and
423.47
,
consistent
30
with
the
provisions
of
this
chapter
,
apply
with
respect
to
31
the
taxes
authorized
under
this
chapter
,
in
the
same
manner
32
and
with
the
same
effect
as
if
the
state
and
local
hotel
and
33
motel
taxes
were
retail
sales
taxes
within
the
meaning
of
34
those
statutes.
Notwithstanding
this
subsection,
the
director
35
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_____
H.F.
_____
shall
provide
for
quarterly
filing
of
returns
and
for
other
1
than
quarterly
filing
of
returns
both
as
prescribed
in
section
2
423.31
.
The
director
may
require
all
persons
who
are
engaged
3
in
the
business
of
deriving
any
sales
price
subject
to
tax
4
under
this
chapter
to
register
with
the
department.
All
taxes
5
collected
under
this
chapter
by
a
retailer
or
any
individual
6
are
deemed
to
be
held
in
trust
for
the
state
of
Iowa
and
the
7
local
jurisdictions
imposing
the
taxes.
8
DIVISION
VI
9
EQUIPMENT
TAXES
10
Sec.
24.
Section
423D.3,
Code
2014,
is
amended
to
read
as
11
follows:
12
423D.3
Exemption.
13
The
sales
price
on
the
lease
or
rental
of
equipment
to
14
contractors
for
direct
and
primary
use
in
construction
is
15
exempt
from
the
tax
imposed
by
this
chapter
.
The
sales
price
16
from
transactions
exempt
from
state
sales
tax
under
section
17
423.3
is
also
exempt
from
the
tax
imposed
by
this
chapter
.
18
Sec.
25.
EFFECTIVE
UPON
ENACTMENT.
This
division
of
this
19
Act,
being
deemed
of
immediate
importance,
takes
effect
upon
20
enactment.
21
Sec.
26.
RETROACTIVE
APPLICABILITY.
This
division
of
this
22
Act
applies
retroactively
to
July
1,
2008,
for
all
sales
or
23
uses
of
equipment
on
or
after
that
date.
24
EXPLANATION
25
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
26
the
explanation’s
substance
by
the
members
of
the
general
assembly.
27
This
bill
relates
to
the
technical
administration
of
the
tax
28
and
related
laws
by
the
department
of
revenue.
29
DIVISION
I
——
MISCELLANEOUS
ADMINISTRATIVE
CHANGES.
30
Division
I
gives
the
director
of
revenue
the
power
and
duty
to
31
adopt
rules
ensuring
that
the
total
amount
of
transfers
by
the
32
department
of
revenue
to
local
governments
or
other
entities
33
with
respect
to
flood
mitigation
program
projects,
local
option
34
tax
urban
renewal
projects,
and
Iowa
reinvestment
Act
projects
35
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19
S.F.
_____
H.F.
_____
does
not
exceed
the
amount
of
applicable
taxes
collected
during
1
the
same
fiscal
year
within
the
geographic
boundaries
of
those
2
governmental
entities,
urban
renewal
areas,
and
reinvestment
3
districts.
4
The
division
also
amends
the
property
assessment
appeal
5
board’s
authority
to
provide
for
the
filing
of
a
notice
of
6
appeal
and
petition
by
electronic
means
by
striking
language
7
referencing
that
such
authority
applies
to
the
assessment
year
8
beginning
January
1,
2014.
9
DIVISION
II
——
TAX
CREDITS
AND
REFUNDS.
Division
II
relates
10
to
the
administration
of
certain
tax
credits
and
refunds.
11
The
division
amends
language
relating
to
tax
credits
or
12
refunds
that
are
issued
as
tax
credit
certificates
to
require
13
that
in
order
to
claim
such
tax
credits
or
refunds,
the
14
certificate
must
be
included
with
a
tax
return
rather
than
15
attached
to
a
tax
return.
16
DIVISION
III
——
INCOME
TAXES.
Division
III
relates
to
17
individual
and
corporate
income
taxes.
18
The
division
removes
alcoholic
beverage
control
bonds
19
from
the
list
in
Code
section
422.7
of
bonds
exempt
from
the
20
individual
income
tax.
The
authority
to
issue
the
bonds
and
21
claim
the
corresponding
tax
exemption
was
repealed
by
2011
Iowa
22
Acts,
chapter
17
(House
File
617).
23
The
division
amends
the
requirements
in
Code
section
422.13
24
for
making
and
filing
an
individual
income
tax
return
by
25
specifying
that
a
resident
or
nonresident
must
file
a
return
26
if
net
income
exceeds
the
appropriate
dollar
amount
in
Code
27
section
422.5,
subsection
3
or
subsection
3B.
Code
section
28
422.5,
subsections
3
and
3B,
respectively,
relate
to
the
net
29
income
amounts
upon
which
the
individual
income
tax
is
not
30
imposed
for
all
taxpayers
and
for
taxpayers
who
are
65
years
31
of
age
or
older.
The
division
also
makes
other
changes
in
Code
32
section
422.13
in
order
to
reorganize
the
Code
section.
33
The
division
applies
retroactively
to
January
1,
2014,
for
34
tax
years
beginning
on
or
after
that
date.
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S.F.
_____
H.F.
_____
DIVISION
IV
——
SALES
AND
USE
TAXES.
Division
IV
amends
1
the
sales
and
use
tax
exemption
for
sales
to
community
health
2
centers
and
migrant
health
centers
to
reflect
the
current
name
3
of
those
centers
under
federal
law.
4
DIVISION
V
——
HOTEL
AND
MOTEL
TAXES.
Division
V
relates
to
5
the
hotel
and
motel
tax
by
reorganizing
and
renumbering
the
6
Code
section
relating
to
the
administration
of
the
tax
and
the
7
transfer
of
tax
revenues
under
the
Iowa
reinvestment
Act
in
8
Code
chapter
15J.
9
DIVISION
VI
——
EQUIPMENT
TAXES.
Division
VI
relates
to
10
the
equipment
tax
in
Code
chapter
423D
by
striking
language
11
that
exempts
from
the
equipment
tax
the
sales
price
from
12
transactions
exempt
from
the
state
sales
tax
under
Code
section
13
423.3.
14
The
division
takes
effect
upon
enactment
and
applies
15
retroactively
to
July
1,
2008,
for
all
sales
or
uses
of
16
equipment
on
or
after
that
date.
17
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19/
19