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House File 2486 - IntroducedA Bill ForAn Act 1exempting from the sales tax the sale of instructional
2materials required for use in a course of instruction at a
3postsecondary institution in this state.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 423.3, Code 2018, is amended by adding
2the following new subsection:
3 NEW SUBSECTION. 103. a. The sales price from the sale of
4instructional materials required for a course of instruction
5at a postsecondary institution in this state, when purchased
6for use by a student enrolled in such course of instruction at
7the postsecondary institution.
8b. For purposes of this subsection:
9(1) “Instructional materials” means books, textbooks, and
10other course materials, whether in printed form or another
11tangible storage media.
12(2) “Postsecondary institution” means an institution
13of higher learning under the control of the state board of
14regents, a community college established under chapter 260C, or
15an accredited private institution as defined in section 261.9.
16EXPLANATION
17The inclusion of this explanation does not constitute agreement with
18the explanation’s substance by the members of the general assembly.
19This bill provides a sales tax exemption for the sale of
20instructional materials required for a course of instruction
21at a postsecondary institution in this state, when purchased
22for use by a student enrolled in such course of instruction at
23the postsecondary institution. “Postsecondary institution” and
24“instructional materials” are defined in the bill.
25By operation of Code section 423.6, an item exempt from the
26imposition of the sales tax is also exempt from the use tax
27imposed in Code section 423.5.
-1-mm/jh
2materials required for use in a course of instruction at a
3postsecondary institution in this state.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 423.3, Code 2018, is amended by adding
2the following new subsection:
3 NEW SUBSECTION. 103. a. The sales price from the sale of
4instructional materials required for a course of instruction
5at a postsecondary institution in this state, when purchased
6for use by a student enrolled in such course of instruction at
7the postsecondary institution.
8b. For purposes of this subsection:
9(1) “Instructional materials” means books, textbooks, and
10other course materials, whether in printed form or another
11tangible storage media.
12(2) “Postsecondary institution” means an institution
13of higher learning under the control of the state board of
14regents, a community college established under chapter 260C, or
15an accredited private institution as defined in section 261.9.
16EXPLANATION
17The inclusion of this explanation does not constitute agreement with
18the explanation’s substance by the members of the general assembly.
19This bill provides a sales tax exemption for the sale of
20instructional materials required for a course of instruction
21at a postsecondary institution in this state, when purchased
22for use by a student enrolled in such course of instruction at
23the postsecondary institution. “Postsecondary institution” and
24“instructional materials” are defined in the bill.
25By operation of Code section 423.6, an item exempt from the
26imposition of the sales tax is also exempt from the use tax
27imposed in Code section 423.5.
-1-mm/jh