Bill Text: IA HF90 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act modifying the rebate of sales and use tax to the owner or operator of a raceway facility.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-01-25 - Subcommittee: Nunn, Gaskill and Sieck. H.J. 123. [HF90 Detail]
Download: Iowa-2017-HF90-Introduced.html
House File 90 - Introduced HOUSE FILE BY HEARTSILL A BILL FOR 1 An Act modifying the rebate of sales and use tax to the owner or 2 operator of a raceway facility. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1647YH (2) 87 mm/sc PAG LIN 1 1 Section 1. Section 423.4, subsection 11, paragraph c, 1 2 subparagraph (4), subparagraph division (a), Code 2017, is 1 3 amended to read as follows: 1 4 (a)Twenty=five percent of theThe total project costs, as 1 5 determined by the department, if such a project is undertaken 1 6 by the owner or operator. For purposes of this subparagraph 1 7 division, "project costs" means costs incurred by the owner or 1 8 operator in connection with the planning, design, construction, 1 9 and installation of property that becomes an integral part 1 10 of the project under contract which project upon completion 1 11 becomes part of the raceway facility, and other costs incurred 1 12 by the owner or operator in connection with the project that 1 13 are customarily associated with the renovation, remodeling, 1 14 reconstruction, expansion, equipping, or improvement of 1 15 real property. Project costs shall be determined after the 1 16 department receives notification of completion of the project 1 17 pursuant to paragraph "b", subparagraph (2), subparagraph 1 18 division (b). However, if rebates cease because of a change of 1 19 control of the raceway facility as provided in paragraph "c", 1 20 subparagraph (5), project costs shall be determined as of the 1 21 date the change of control occurs. 1 22 EXPLANATION 1 23 The inclusion of this explanation does not constitute agreement with 1 24 the explanation's substance by the members of the general assembly. 1 25 This bill modifies the rebate of sales and use tax to 1 26 the owner or operator of a raceway facility. The rebate 1 27 is available for sales tax collected on purchases made at 1 28 the raceway facility, and for sales and use tax paid by a 1 29 contractor in completion of a project at the raceway facility, 1 30 provided the sales tax was collected or paid between January 1, 1 31 2015, and January 1, 2025. Under current law, the total rebate 1 32 is limited to the lesser of $2 million or 25 percent of the 1 33 project costs, if such a project is undertaken at the raceway 1 34 facility. The bill amends this cap to provide that the total 1 35 rebate is limited to the lesser of $2 million or the total 2 1 project costs, if such a project is undertaken at the raceway 2 2 facility. LSB 1647YH (2) 87 mm/sc
