SSB 1162 (LSB 2625XC (1) 87)

SENATE FILE _____ 

BY  (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON FEENSTRA)

A BILL FOR

An Act relating to the exemption from the hotel and motel taxes for the renting of lodging for a certain number of consecutive days.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 423A.5, subsection 1, paragraph a, Code 2017, is amended to read as follows:
   a.  The sales price from For the renting of lodging which is rented by the same person for a period of more than thirty-one thirty consecutive days, the sales price from the renting of any day of lodging within that period after the first thirty consecutive days.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   Under current law, the renting of lodging by the same person for a period of more than 31 consecutive days is exempt from the state and local hotel and motel taxes under Code chapter 423A. This bill modifies that exemption to provide that when a person rents lodging for a period of more than 30 consecutive days, the exemption only applies to the sales price from the renting of any day of lodging within that period after the first 30 consecutive days. In other words, the exemption does not apply to the sales price from the renting of the first 30 consecutive days of lodging within a qualifying period.