House Study Bill 230 - IntroducedA Bill ForAn Act 1repealing the excise tax on the handling of grain.
1   Section 1.  Section 445.3, subsection 2, Code 2023, is
2amended to read as follows:
   32.  a.  The commencement of actions for ad valorem taxes
4authorized under this section shall not begin until the
5issuance of a tax sale certificate under the requirements of
6section 446.19. The commencement of actions for all other
7taxes authorized under this section shall not begin until ten
8days after the publication of tax sale under the requirements
9of section 446.9, subsection 2.
   10b.  This subsection does not apply to the collection of ad
11valorem taxes under section 445.32, and grain handling taxes
12under section 428.35
13   Sec. 2.  REPEAL.  Section 428.35, Code 2023, is repealed.
14   Sec. 3.  IMPLEMENTATION.  Section 25B.7 shall not apply to
15the property tax exemption enacted in this Act.
17The inclusion of this explanation does not constitute agreement with
18the explanation’s substance by the members of the general assembly.
   19This bill repeals the grain handling excise tax of
20one-fourth mill per bushel upon all grain handled. For
21purposes of the tax, “handling or handled” means the receiving
22of grain at or in each elevator, warehouse, mill, processing
23plant, or other facility in this state in which it is received
24for storage, accumulation, sale, processing, or any other
25purpose. In addition, “grain” means wheat, corn, barley,
26oats, rye, flaxseed, field peas, soybeans, grain sorghums,
27spelts, and such other products as are usually stored in grain
28elevators other than seeds after being processed. The excise
29tax is entered on the tax list of the taxing district and
30revenue collected from the excise tax is distributed to the
31various taxing authorities (taxing units) within the taxing
32district in the same manner as general property taxes.
   33The bill makes inapplicable Code section 25B.7. Code
34section 25B.7 provides that for a property tax credit or
35exemption enacted on or after January 1, 1997, if a state
-1-1appropriation made to fund the credit or exemption is not
2sufficient to fully fund the credit or exemption, the political
3subdivision shall be required to extend to the taxpayer only
4that portion of the credit or exemption estimated by the
5department of revenue to be funded by the state appropriation.