House File 616 - Enrolled
HOUSE FILE
BY COMMITTEE ON WAYS AND
MEANS
(SUCCESSOR TO HF 192)
(SUCCESSOR TO HSB 29)
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A BILL FOR
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House File 616
AN ACT
RELATING TO STATE REVENUE AND FINANCE LAWS INCLUDING PROPERTY
TAX CREDITS, ASSESSMENTS, AND EXEMPTIONS, THE SALES AND
USE TAX, THE INDIVIDUAL INCOME TAX, THE FLOOD MITIGATION
PROGRAM, AND INCLUDING EFFECTIVE DATE AND RETROACTIVE AND
OTHER APPLICABILITY PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
DIVISION I
PROPERTY TAX ASSESSMENTS AND
BUSINESS PROPERTY TAX CREDIT
Section 1. Section 426C.1, subsection 4, Code 2015, is
amended by striking the subsection and inserting in lieu
thereof the following:
4. a. "Parcel" means as defined in section 445.1.
b. (1) For purposes of business property tax credits
claimed for the fiscal year beginning July 1, 2016, "parcel"
also means that portion of a parcel assigned a classification
of commercial property, industrial property, or railway
property under chapter 434 pursuant to section 441.21,
subsection 13, paragraph "c".
(2) For purposes of business property tax credits claimed
for fiscal years beginning on or after July 1, 2017, "parcel"
also means that portion of a parcel assigned a classification
of commercial property or industrial property pursuant to
section 441.21, subsection 13, paragraph "c".
Sec. 2. Section 426C.3, subsection 2, paragraph a, Code
2015, is amended to read as follows:
a. (1) Claims for the business property tax credit against
taxes due and payable in fiscal years beginning before July
1, 2017, shall be filed not later than March 15 preceding the
fiscal year during which the taxes for which the credit is
claimed are due and payable.
(2) Claims for the business property tax credit against
taxes due and payable in fiscal years beginning on or after
July 1, 2017, shall be filed not later than July 1 preceding
the fiscal year during which the taxes for which the credit is
claimed are due and payable.
Sec. 3. Section 441.21, subsection 13, paragraphs a and c,
Code 2015, are amended to read as follows:
a. (1) Beginning with valuations established on or after
For the assessment year beginning January 1, 2015, mobile home
parks, manufactured home communities, land=leased communities,
assisted living facilities, property primarily used or intended
for human habitation containing three or more separate dwelling
units, and that portion of a building that is used or intended
for human habitation and a proportionate share of the land
upon which the building is situated, regardless of the number
of dwelling units located in the building, if the use for
human habitation is not the primary use of the building and
such building is not otherwise classified as residential
property, shall be valued as a separate class of property
known as multiresidential property and, excluding properties
referred to in section 427A.1, subsection 8, shall be assessed
at a percentage of its actual value, as determined in this
subsection.
(2) Beginning with valuations established on or after
January 1, 2016, all of the following shall be valued as a
separate class of property known as multiresidential property
and, excluding properties referred to in section 427A.1,
subsection 8, shall be assessed at a percentage of its actual
value, as determined in this subsection:
(a) Mobile home parks.
(b) Manufactured home communities.
(c) Land=leased communities.
(d) Assisted living facilities.
(e) A parcel primarily used or intended for human habitation
containing three or more separate dwelling units. If a
portion of such a parcel is used or intended for a purpose
that, if the primary use, would be classified as commercial
property or industrial property, each such portion, including
a proportionate share of the land included in the parcel, if
applicable, shall be assigned the appropriate classification
pursuant to paragraph "c".
(f) For a parcel that is primarily used or intended for use
as commercial property or industrial property, that portion
of the parcel that is used or intended for human habitation,
regardless of the number of dwelling units contained on the
parcel, including a proportionate share of the land included
in the parcel, if applicable. The portion of such a parcel
used or intended for use as commercial property or industrial
property, including a proportionate share of the land included
in the parcel, if applicable, shall be assigned the appropriate
classification pursuant to paragraph "c".
c. (1) Accordingly For the assessment year beginning
January 1, 2015, for parcels that, in part, satisfy the
requirements for classification as multiresidential property,
the assessor shall assign to that portion of the parcel the
classification of multiresidential property and to such other
portions of the parcel the property classification for which
such other portions qualify.
(2) Beginning with valuations established on or after
January 1, 2016, for parcels for which a portion of the
parcel satisfies the requirements for classification as
multiresidential property pursuant to paragraph "a",
subparagraph (2), subparagraph division (e) or (f), the
assessor shall assign to that portion of the parcel the
classification of multiresidential property and to such other
portions of the parcel the property classification for which
such other portions qualify.
Sec. 4. Section 441.26, subsection 1, Code 2015, is amended
to read as follows:
1. The director of revenue shall each year prescribe
the form of assessment roll to be used by all assessors in
assessing property, in this state, also the form of pages of
the assessor's assessment book. The assessment rolls shall
be in a form that will permit entering, separately, the names
of all persons assessed, and shall also contain a notice in
substantially the following form:
If you are not satisfied that the foregoing assessment is
correct, you may contact the assessor on or after April 1 2,
to and including May 4 April 25, of the year of the assessment
to request an informal review of the assessment pursuant to
section 441.30.
If you are not satisfied that the foregoing assessment is
correct, you may file a protest against such assessment with
the board of review on or after April 7 2, to and including May
5 April 30, of the year of the assessment, such protest to be
confined to the grounds specified in section 441.37.
Dated: .. day of ... (month), .. (year)
...........
County/City Assessor.
Sec. 5. Section 441.26, subsection 2, Code 2015, is amended
to read as follows:
2. The notice in 1981 and each odd=numbered year thereafter
shall contain a statement that the assessments are subject
to equalization pursuant to an order issued by the director
of revenue, that the county auditor shall give notice on or
before October 15 8 by publication in an official newspaper of
general circulation to any class of property affected by the
equalization order, that the county auditor shall give notice
by mail postmarked on or before October 8 to each property
owner or taxpayer whose valuation has been increased by the
equalization order, and that the board of review shall be in
session from October 15 10 to November 15 to hear protests of
affected property owners or taxpayers whose valuations have
been adjusted by the equalization order.
Sec. 6. Section 441.28, Code 2015, is amended to read as
follows:
441.28 Assessment rolls == change == notice to taxpayer.
The assessment shall be completed not later than April 1 each
year. If the assessor makes any change in an assessment after
it has been entered on the assessor's rolls, the assessor shall
note on the roll, together with the original assessment, the
new assessment and the reason for the change, together with the
assessor's signature and the date of the change. Provided,
however, in the event the assessor increases any assessment the
assessor shall give notice of the increase in writing to the
taxpayer by mail postmarked no later than April 1. No changes
shall be made on the assessment rolls after April 1 except by
written agreement of the taxpayer and assessor under section
441.30, by order of the board of review or of the property
assessment appeal board, or by decree of court.
Sec. 7. Section 441.30, subsections 1 and 2, Code 2015, are
amended to read as follows:
1. Any property owner or aggrieved taxpayer who is
dissatisfied with the owner's or taxpayer's assessment may
contact the assessor by telephone or in writing by paper or
electronic medium on or after April 1 2, to and including May
4 April 25, of the year of the assessment to inquire about the
specifics and accuracy of the assessment. Such an inquiry may
also include a request for an informal review of the assessment
by the assessor under one or more of the grounds for protest
authorized under section 441.37 for the same assessment year.
2. In response to an inquiry under subsection 1, if the
assessor, following an informal review, determines that the
assessment was incorrect under one or more of the grounds for
protest authorized under section 441.37 for the same assessment
year, the assessor may, on or before April 25, recommend that
the property owner or aggrieved taxpayer file a protest with
the local board of review and may file a recommendation with
the local board of review related to the informal review, or
may enter into a signed written agreement with the property
owner or aggrieved taxpayer authorizing the assessor to correct
or modify the assessment according to the agreement of the
parties.
Sec. 8. Section 441.35, subsection 2, Code 2015, is amended
to read as follows:
2. In any year after the year in which an assessment has
been made of all of the real estate in any taxing district, the
board of review shall meet as provided in section 441.33, and
where the board finds the same has changed in value, the board
shall revalue and reassess any part or all of the real estate
contained in such taxing district, and in such case, the board
shall determine the actual value as of January 1 of the year
of the revaluation and reassessment and compute the taxable
value thereof. If the assessment of any such property is
raised, or any property is added to the tax list by the board,
the clerk shall give notice in the manner provided in section
441.36. However, if the assessment of If all property in any
taxing district is raised revalued and reassessed, the board
may shall, in addition to notices required to be provided in
the manner specified in section 441.36, instruct the clerk to
give immediate notice by one publication in one of the official
newspapers located in the taxing district, and such published
notice shall take the place of the mailed notice provided for
in section 441.36, but all other provisions of that section
shall apply. The decision of the board as to the foregoing
matters shall be subject to appeal to the property assessment
appeal board within the same time and in the same manner as
provided in section 441.37A and to the district court within
the same time and in the same manner as provided in section
441.38.
Sec. 9. Section 441.37, subsection 1, paragraph a,
unnumbered paragraph 1, Code 2015, is amended to read as
follows:
Any property owner or aggrieved taxpayer who is dissatisfied
with the owner's or taxpayer's assessment may file a protest
against such assessment with the board of review on or after
April 7 2, to and including May 5 April 30, of the year of the
assessment. In any county which has been declared to be a
disaster area by proper federal authorities after March 1 and
prior to May 20 of said year of assessment, the board of review
shall be authorized to remain in session until June 15 and the
time for filing a protest shall be extended to and include the
period from May 25 to June 5 of such year. The protest shall
be in writing and, except as provided in subsection 3, signed
by the one protesting or by the protester's duly authorized
agent. The taxpayer may have an oral hearing on the protest if
the request for the oral hearing is made in writing at the time
of filing the protest. The protest must be confined to one or
more of the following grounds:
Sec. 10. Section 441.37, subsection 3, Code 2015, is amended
to read as follows:
3. For assessment years beginning on or after January
1, 2014, the board of review may allow property owners or
aggrieved taxpayers who are dissatisfied with the owner's or
taxpayer's assessment to file a protest against such assessment
by electronic means. Electronic filing of assessment protests
may be authorized for the protest period that begins April
7 2, the protest period that begins October 15 9, or both.
Except for the requirement that a protest be signed, all other
requirements of this section for an assessment protest to the
board of review shall apply to a protest filed electronically.
If electronic filing is authorized by the local board of
review, the availability of electronic filing shall be clearly
indicated on the assessment roll notice provided to the
property owner or taxpayer and included in both the published
equalization order notice and the equalization order notice
mailed to the property owner or taxpayer if applicable.
Sec. 11. Section 441.49, subsections 2 and 4, Code 2015, are
amended to read as follows:
2. a. On or before October 15 8 the county auditor shall
cause to be published in official newspapers of general
circulation the final equalization order. The county auditor
shall also notify each property owner or taxpayer whose
valuation has been increased by the final equalization order
by mail postmarked on or before October 8. The publication
and the individual notice mailed to each property owner or
taxpayer whose valuation has been increased shall include, in
type larger than the remainder of the publication or notice,
the following statement statements:
Assessed values are equalized by the department of revenue
every two years. Local taxing authorities determine the final
tax levies and may reduce property tax rates to compensate
for any increase in valuation due to equalization. If you
are not satisfied that your assessment as adjusted by the
equalization order is correct, you may file a protest against
such assessment with the board of review on or after October
9, to and including October 31.
b. Failure to publish the equalization order or to notify
property owners or taxpayers of the equalization order has no
effect upon the validity of the orders.
4. The local board of review shall reconvene in special
session from October 15 10 to November 15 for the purpose of
hearing the protests of affected property owners or taxpayers
within the jurisdiction of the board whose valuation of
property if adjusted pursuant to the equalization order issued
by the director of revenue will result in a greater value than
permitted under section 441.21. The board of review shall
accept protests only during the first ten days following the
date the local board of review reconvenes period of time from
October 9, to and including October 31. The board of review
shall limit its review to only the timely filed protests. The
board of review may adjust all or a part of the percentage
increase ordered by the director of revenue by adjusting the
actual value of the property under protest to one hundred
percent of actual value. Any adjustment so determined by
the board of review shall not exceed the percentage increase
provided for in the director's equalization order. The
determination of the board of review on filed protests is
final, subject to appeal to the property assessment appeal
board. A final decision by the local board of review, or the
property assessment appeal board, if the local board's decision
is appealed, is subject to review by the director of revenue
for the purpose of determining whether the board's actions
substantially altered the equalization order. In making the
review, the director has all the powers provided in chapter
421, and in exercising the powers the director is not subject
to chapter 17A. Not later than fifteen days following the
adjournment of the board, the board of review shall submit to
the director of revenue, on forms prescribed by the director, a
report of all actions taken by the board of review during this
session.
Sec. 12. IMPLEMENTATION OF ACT. Section 25B.2, subsection
3, shall not apply to this division of this Act.
Sec. 13. APPLICABILITY. Except for the sections of this
division of this Act amending sections 426C.1 and 426C.3, this
division of this Act applies to assessment years beginning on
or after January 1, 2016.
DIVISION II
SALES AND USE TAXES
Sec. 14. Section 423.1, subsection 25, Code 2015, is amended
to read as follows:
25. "Livestock" includes but is not limited to an animal
classified as an ostrich, rhea, emu, bison, or farm deer, or
preserve whitetail as defined in section 484C.1.
Sec. 15. Section 423.3, Code 2015, is amended by adding the
following new subsection:
NEW SUBSECTION. 3A. The sale of preserve whitetail as
defined in section 484C.1 if the sale occurred between July 1,
2005, and December 31, 2015.
Sec. 16. Section 423.3, subsection 8, paragraph d, Code
2015, is amended to read as follows:
d. (1) For purposes of this subsection, the following
items are exempt under paragraph "a" when used primarily in
agricultural production:
(a) A diesel fuel trailer, regardless of the vehicle to
which it is to be attached.
(b) A seed tender, regardless of the vehicle to which it is
to be attached.
(c) An all=terrain vehicle.
(d) An off=road utility vehicle.
(2) For purposes of this paragraph:
(a) "All=terrain vehicle" means the same as defined in
section 321I.1.
(a) (b) "Fuel trailer" means a trailer that holds dyed
diesel fuel or diesel exhaust fluid and that is used to
transport such fuel or fluid to a self=propelled implement of
husbandry.
(c) "Off=road utility vehicle" means the same as defined in
section 321I.1.
(b) (d) "Seed tender" means a trailer that holds seed and
that is used to transport seed to an implement of husbandry and
load seed into an implement of husbandry.
Sec. 17. REFUNDS. Refunds of taxes, interest, or penalties
that arise from claims resulting from the amendment to section
423.1, subsection 25, in this division of this Act, for sales
occurring between July 1, 2005, and the effective date of the
section amending section 423.1, subsection 25, in this division
of this Act, shall not be allowed, notwithstanding any other
provision of law to the contrary.
Sec. 18. REFUNDS. Refunds of taxes, interest, or penalties
that arise from claims resulting from the enactment of section
423.3, subsection 3A, in this division of this Act, for sales
occurring between July 1, 2005, and December 31, 2015, shall
not be allowed, notwithstanding any other provision of law to
the contrary.
Sec. 19. EFFECTIVE UPON ENACTMENT. The following provision
or provisions of this division of this Act, being deemed of
immediate importance, take effect upon enactment:
1. The section of this division of this Act amending section
423.1, subsection 25.
2. The section of this division of this Act enacting section
423.3, subsection 3A.
Sec. 20. RETROACTIVE APPLICABILITY. The following
provision or provisions of this division of this Act apply
retroactively to July 1, 2005:
1. The section of this division of this Act amending section
423.1, subsection 25.
2. The section of this division of this Act enacting section
423.3, subsection 3A.
DIVISION III
DISABLED VETERAN HOMESTEAD
PROPERTY TAX CREDIT APPLICATION
Sec. 21. 2015 Iowa Acts, House File 166, is amended by
adding the following new section:
NEW SECTION. SEC. 6. EXCEPTION TO APPLICATION FILING
DEADLINE. Notwithstanding the filing deadline under section
425.2, claims for the homestead credit authorized under section
425.15, as amended in this Act, filed after July 1, 2014, but
before July 1, 2015, shall be considered to be a claim properly
filed for taxes due and payable in the fiscal year beginning
July 1, 2015.
Sec. 22. EFFECTIVE UPON ENACTMENT. This division of this
Act, being deemed of immediate importance, takes effect upon
enactment.
Sec. 23. RETROACTIVE APPLICABILITY. This division of this
Act applies retroactively to March 5, 2015.
DIVISION IV
PROPERTY TAX EXEMPTION FOR
CERTAIN INSTITUTIONS AND SOCIETIES
Sec. 24. Section 427.1, subsections 6 and 8, Code 2015, are
amended to read as follows:
6. Property of cemetery associations.
a. Burial grounds, mausoleums, buildings, and equipment
owned and operated by cemetery associations and used
exclusively for the maintenance and care of the cemeteries
devoted to interment of human bodies and human remains. The
exemption granted by this subsection shall not apply to any
property used for the practice of mortuary science.
b. Agricultural land owned by a cemetery association and
leased to another person for agricultural use if the revenues
resulting from the lease are used by the cemetery association
exclusively for the maintenance and care of cemeteries owned
by the cemetery association and devoted to interment of human
bodies and human remains.
8. Property of religious, literary, and charitable societies.
a. All grounds and buildings used or under construction by
literary, scientific, charitable, benevolent, agricultural,
and religious institutions and societies solely for their
appropriate objects, not exceeding three hundred twenty
acres in extent and not leased or otherwise used or under
construction with a view to pecuniary profit. However,
an organization mentioned in this subsection whose primary
objective is to preserve land in its natural state may own
or lease land not exceeding three hundred twenty acres in
each county for its appropriate objects. For assessment
years beginning on or after January 1, 2016, the exemption
granted by this subsection shall also apply to grounds owned
by a religious institution or society, not exceeding a total
of fifty acres, if all monetary and in=kind profits of the
religious institution or society resulting from use or lease of
the grounds are used exclusively by the religious institution
or society for the appropriate objects of the institution or
society.
b. All deeds or leases by which such property is held shall
be filed for record before the property herein described shall
be omitted from the assessment. All such property shall be
listed upon the tax rolls of the district or districts in which
it is located and shall have ascribed to it an actual fair
market value and an assessed or taxable value, as contemplated
by section 441.21, whether such property be subject to a levy
or be exempted as herein provided and such information shall
be open to public inspection.
Sec. 25. IMPLEMENTATION. Section 25B.7 shall not apply to
this division of this Act.
DIVISION V
FLOOD MITIGATION PROGRAM
Sec. 26. Section 418.5, subsections 1 and 6, Code 2015, are
amended to read as follows:
1. The flood mitigation board is established consisting
of nine voting members and four five ex officio, nonvoting
members, and is located for administrative purposes within
the department. The director of the department shall provide
office space, staff assistance, and necessary supplies and
equipment for the board. The director shall budget funds to
pay the necessary expenses of the board. In performing its
functions, the board is performing a public function on behalf
of the state and is a public instrumentality of the state.
6. The board's ex officio membership shall include be
comprised of the following:
a. four Four members of the general assembly with one
each appointed by the majority leader of the senate, the
minority leader of the senate, the speaker of the house of
representatives, and the minority leader of the house of
representatives. A legislative member serves for a term as
provided in section 69.16B in an ex officio, nonvoting capacity
and is eligible for per diem and expenses as provided in
section 2.10.
b. The director of revenue or the director's designee.
DIVISION VI
INDIVIDUAL INCOME TAX EXEMPTION FOR CERTAIN PAYMENTS MADE TO
NONRESIDENT ELECTRIC UTILITY WORKERS
Sec. 27. Section 422.7, Code 2015, is amended by adding the
following new subsection:
NEW SUBSECTION. 57. a. Subtract, to the extent included,
payments received by an individual from an electric utility for
the following:
(1) Emergency response work performed in this state for the
electric utility pursuant to a mutual aid agreement between
this state and any other state if such emergency response work
is performed while the individual is a nonresident.
(2) Training received in this state from the electric
utility if such training is received while the individual is
a nonresident.
b. For purposes of this subsection, "electric utility" means
the same as defined in section 476.22.
Sec. 28. Section 422.16, subsection 1, Code 2015, is amended
by adding the following new paragraph:
NEW PARAGRAPH. f. Nonresidents engaged in emergency
response work or training meeting the requirements of section
422.7, subsection 57, are not subject to withholding by the
applicable electric utility for which such emergency response
work or training is being performed if the electric utility has
applied to the department for exemption from the withholding
requirement and the department has determined that the payments
received by the nonresidents would be exempt from taxation
pursuant to section 422.7, subsection 57.
Sec. 29. EFFECTIVE UPON ENACTMENT. This division of this
Act, being deemed of immediate importance, takes effect upon
enactment.
Sec. 30. RETROACTIVE APPLICABILITY. This division of this
Act applies retroactively to January 1, 2015, for tax years
beginning on or after that date.
KRAIG PAULSEN
Speaker of the House
PAM JOCHUM
President of the Senate
I hereby certify that this bill originated in the House and
is known as House File 616, Eighty=sixth General Assembly.
CARMINE BOAL
Chief Clerk of the House
Approved , 2015
TERRY E. BRANSTAD
Governor
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