HF 2252 (LSB 6075YH (2) 88)

HOUSE FILE 2252

BY  JONES

A BILL FOR

An Act exempting from the individual income tax the amount of pay received by a taxpayer for providing certain child care services, and including effective date and retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 422.7, Code 2020, is amended by adding the following new subsection:
   NEW SUBSECTION.  27A.  a.  Subtract, to the extent included, the amount of wages received by a taxpayer for child care services.
   b.  As used in this section:
   (1)  “Child care facility” means the same as defined in section 237A.1.
   (2)  “Child care home” means the same as defined in section 237A.1.
   (3)  “Child care services” means services provided at a child care home or a child care facility.
    Sec. 2.  EFFECTIVE DATE.  This Act, being deemed of immediate importance, takes effect upon enactment.
    Sec. 3.  RETROACTIVE APPLICABILITY.  This Act applies retroactively to January 1, 2020, for tax years beginning on or after that date.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill exempts from the individual income tax the amount of wages received by a taxpayer for providing certain child care services. The bill defines “child care services” to mean services provided at a child care home or a child care facility. The bill defines “child care home” and “child care facility” to mean the same as defined in Code section 237A.1.
   The bill takes effect upon enactment, and applies retroactively to January 1, 2020, to tax years beginning on or after that date.