Senate File 2310 - Introduced SENATE FILE 2310 BY COMMITTEE ON WAYS AND MEANS (SUCCESSOR TO SSB 3178) A BILL FOR An Act modifying the rebate of sales and use tax to the owner or 1 operator of a raceway facility. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 6043SV (1) 86 mm/sc
S.F. 2310 Section 1. Section 423.4, subsection 11, paragraph c, 1 subparagraph (4), subparagraph division (a), Code 2016, is 2 amended to read as follows: 3 (a) Twenty-five percent of the The total project costs, as 4 determined by the department, if such a project is undertaken 5 by the owner or operator. For purposes of this subparagraph 6 division, “project costs” means costs incurred by the owner or 7 operator in connection with the planning, design, construction, 8 and installation of property that becomes an integral part 9 of the project under contract which project upon completion 10 becomes part of the raceway facility, and other costs incurred 11 by the owner or operator in connection with the project that 12 are customarily associated with the renovation, remodeling, 13 reconstruction, expansion, equipping, or improvement of 14 real property. Project costs shall be determined after the 15 department receives notification of completion of the project 16 pursuant to paragraph “b” , subparagraph (2), subparagraph 17 division (b). However, if rebates cease because of a change of 18 control of the raceway facility as provided in paragraph “c” , 19 subparagraph (5), project costs shall be determined as of the 20 date the change of control occurs. 21 EXPLANATION 22 The inclusion of this explanation does not constitute agreement with 23 the explanation’s substance by the members of the general assembly. 24 This bill modifies the rebate of sales and use tax to 25 the owner or operator of a raceway facility. The rebate 26 is available for sales tax collected on purchases made at 27 the raceway facility, and for sales and use tax paid by a 28 contractor in completion of a project at the raceway facility, 29 provided the sales tax was collected or paid between January 1, 30 2015, and January 1, 2025. Under current law, the total rebate 31 is limited to the lesser of $2 million or 25 percent of the 32 project costs, if such a project is undertaken at the raceway 33 facility. The bill amends this cap to provide that the total 34 rebate is limited to the lesser of $2 million or the total 35 -1- LSB 6043SV (1) 86 mm/sc 1/ 2
S.F. 2310 project costs, if such a project is undertaken at the raceway 1 facility. 2 -2- LSB 6043SV (1) 86 mm/sc 2/ 2