Bill Text: IA SF364 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act allowing certain deductions relating to the paycheck protection program loan forgiveness, and including effective date provisions.(Formerly SSB 1175.)
Spectrum: Committee Bill
Status: (Engrossed - Dead) 2021-03-04 - Message from House, with amendment S-3046. S.J. 515. [SF364 Detail]
Download: Iowa-2021-SF364-Introduced.html
Senate
File
364
-
Introduced
SENATE
FILE
364
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
SSB
1175)
A
BILL
FOR
An
Act
allowing
certain
deductions
relating
to
the
paycheck
1
protection
program
loan
forgiveness,
and
including
effective
2
date
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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S.F.
364
Section
1.
FEDERAL
PAYCHECK
PROTECTION
PROGRAM.
1
Notwithstanding
any
other
provision
of
the
law
to
the
contrary,
2
for
any
tax
year
ending
after
March
27,
2020,
Division
N,
Tit.
3
II,
subtit.
B,
§276
and
§278(a),
of
the
federal
Consolidated
4
Appropriations
Act,
2021,
Pub.
L.
No.
116-260,
applies
in
5
computing
net
income
for
state
tax
purposes
under
section
422.7
6
or
422.35.
7
Sec.
2.
EFFECTIVE
DATE.
This
Act,
being
deemed
of
immediate
8
importance,
takes
effect
upon
enactment.
9
EXPLANATION
10
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
11
the
explanation’s
substance
by
the
members
of
the
general
assembly.
12
This
bill
allows
certain
deductions
relating
to
the
paycheck
13
protection
program
loan
forgiveness.
14
Under
current
law,
for
the
tax
year
2020
and
later,
Iowa
15
law
fully
conforms
with
the
federal
treatment
of
forgiven
16
paycheck
protection
program
loans
and
excludes
such
amounts
17
from
net
income
and
allows
certain
deductions
for
business
18
expenses
paid
using
those
loans.
For
fiscal-year
filers
who
19
received
paycheck
protection
program
loans
during
the
2019
tax
20
year,
current
law
excludes
such
amounts
from
net
income,
but
21
does
not
allow
certain
deductions
for
business
expenses
paid
22
using
those
loans.
The
bill
fully
conforms
with
federal
law
23
for
those
fiscal-year
filers
who
previously
were
excluded
from
24
such
conformity
and
allows
such
filers
to
take
business
expense
25
deductions
using
federal
paycheck
protection
program
loan
26
proceeds
that
were
forgiven.
27
The
bill
takes
effect
upon
enactment.
28
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