Bill Text: IA HF2679 | 2023-2024 | 90th General Assembly | Amended
Bill Title: A bill for an act providing a deduction from the individual and corporate income taxes for the amount of certain income derived from indigent representation by an eligible law firm, and including retroactive applicability provisions. (Formerly HF 2504.)
Spectrum: Committee Bill
Status: (Engrossed - Dead) 2024-04-16 - Subcommittee recommends passage. []. [HF2679 Detail]
Download: Iowa-2023-HF2679-Amended.html
House
File
2679
-
Reprinted
HOUSE
FILE
2679
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
HF
2504)
(As
Amended
and
Passed
by
the
House
April
4,
2024
)
A
BILL
FOR
An
Act
providing
a
deduction
from
the
individual
and
corporate
1
income
taxes
for
the
amount
of
certain
income
derived
2
from
indigent
representation
by
an
eligible
law
firm,
and
3
including
retroactive
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
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2679
(4)
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H.F.
2679
Section
1.
Section
422.7,
Code
2024,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
44.
a.
As
used
in
this
subsection:
3
(1)
“Eligible
attorney”
means
an
attorney
who
is
appointed
4
to
an
eligible
case
and
who,
at
the
time
of
such
appointment,
5
has
been
licensed
to
practice
law
for
fewer
than
ten
years.
6
(2)
“Eligible
case”
means
an
appointment
on
or
after
July
1,
7
2024,
by
an
Iowa
court
of
an
eligible
attorney
to
represent
a
8
person
in
a
case
pursuant
to
section
814.11
or
815.10.
9
(3)
“Eligible
law
firm”
means
a
law
firm
in
this
state
that
10
has
two
or
more
attorneys
that
practice
law
in
the
law
firm
for
11
at
least
half
of
each
tax
year
during
which
the
law
firm
is
12
engaged
in
an
eligible
case.
13
b.
(1)
An
eligible
law
firm
may
subtract,
to
the
extent
14
included,
the
aggregated
amount
equal
to
the
difference
between
15
the
total
hours
billed
by
the
eligible
attorney
in
the
eligible
16
case
multiplied
by
one
hundred
fifty
dollars
or
the
actual
17
hourly
rate
charged
by
the
eligible
law
firm
for
that
eligible
18
attorney
for
such
a
case,
whichever
is
less,
and
the
total
19
hours
billed
by
the
eligible
attorney
in
the
eligible
case
20
multiplied
by
the
hourly
rate
in
effect
for
the
eligible
case
21
in
section
815.7.
22
(2)
The
amount
of
the
deduction
allowed
pursuant
to
this
23
subsection
for
an
individual
taxpayer
of
an
eligible
law
24
firm
shall
be
calculated
using
the
same
percentage
as
the
25
taxpayer’s
pro
rata
percentage
share
of
the
profits
or
losses
26
from
the
partnership,
limited
liability
company,
or
subchapter
27
S
corporation.
28
Sec.
2.
Section
422.35,
Code
2024,
is
amended
by
adding
the
29
following
new
subsection:
30
NEW
SUBSECTION
.
14.
a.
As
used
in
this
subsection:
31
(1)
“Eligible
attorney”
means
an
attorney
who
is
appointed
32
to
an
eligible
case
and
who,
at
the
time
of
such
appointment,
33
has
been
licensed
to
practice
law
for
fewer
than
ten
years.
34
(2)
“Eligible
case”
means
an
appointment
on
or
after
July
1,
35
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2679
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2
H.F.
2679
2024,
by
an
Iowa
court
of
an
eligible
attorney
to
represent
a
1
person
in
a
case
pursuant
to
section
814.11
or
815.10.
2
(3)
“Eligible
law
firm”
means
a
law
firm
in
this
state
that
3
has
two
or
more
attorneys
that
practice
law
in
the
law
firm
for
4
at
least
half
of
each
tax
year
during
which
the
law
firm
is
5
engaged
in
an
eligible
case.
6
b.
An
eligible
law
firm
may
subtract,
to
the
extent
7
included,
the
aggregated
amount
equal
to
the
difference
between
8
the
total
hours
billed
by
the
eligible
attorney
in
the
eligible
9
case
multiplied
by
one
hundred
fifty
dollars
or
the
actual
10
hourly
rate
charged
by
the
eligible
law
firm
for
that
eligible
11
attorney
for
such
a
case,
whichever
is
less,
and
the
total
12
hours
billed
by
the
eligible
attorney
in
the
eligible
case
13
multiplied
by
the
hourly
rate
in
effect
for
the
eligible
case
14
in
section
815.7.
15
Sec.
3.
RETROACTIVE
APPLICABILITY.
This
Act
applies
16
retroactively
to
January
1,
2024,
for
tax
years
beginning
on
17
or
after
that
date.
18
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