Bill Text: IA SF459 | 2023-2024 | 90th General Assembly | Introduced
Bill Title: A bill for an act increasing the earned income tax credit available against the Iowa individual income tax, and including retroactive applicability provisions.
Spectrum: Partisan Bill (Democrat 16-0)
Status: (Introduced - Dead) 2023-03-02 - Subcommittee: Dawson, Koelker, and Winckler. S.J. 465. [SF459 Detail]
Download: Iowa-2023-SF459-Introduced.html
Senate
File
459
-
Introduced
SENATE
FILE
459
BY
JOCHUM
,
KNOX
,
GIDDENS
,
WEINER
,
PETERSEN
,
QUIRMBACH
,
DONAHUE
,
DOTZLER
,
WINCKLER
,
BOULTON
,
WAHLS
,
BISIGNANO
,
T.
TAYLOR
,
TRONE
GARRIOTT
,
BENNETT
,
and
CELSI
A
BILL
FOR
An
Act
increasing
the
earned
income
tax
credit
available
1
against
the
Iowa
individual
income
tax,
and
including
2
retroactive
applicability
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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S.F.
459
Section
1.
Section
422.12B,
subsection
1,
paragraph
a,
1
subparagraph
(2),
Code
2023,
is
amended
to
read
as
follows:
2
(2)
For
tax
years
beginning
on
or
after
January
1,
2014,
but
3
before
January
1,
2023,
fifteen
percent.
4
Sec.
2.
Section
422.12B,
subsection
1,
paragraph
a,
Code
5
2023,
is
amended
by
adding
the
following
new
subparagraph:
6
NEW
SUBPARAGRAPH
.
(3)
For
tax
years
beginning
on
or
after
7
January
1,
2023,
thirty
percent.
8
Sec.
3.
RETROACTIVE
APPLICABILITY.
This
Act
applies
9
retroactively
to
January
1,
2023,
for
tax
years
beginning
on
10
or
after
that
date.
11
EXPLANATION
12
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
13
the
explanation’s
substance
by
the
members
of
the
general
assembly.
14
This
bill
increases
the
earned
tax
credit
available
against
15
the
Iowa
individual
income
tax.
16
Under
current
law,
a
taxpayer
is
allowed
to
claim
an
Iowa
17
earned
income
tax
credit
equal
to
15
percent
of
the
federal
18
earned
income
tax
credit
under
section
32
of
the
Internal
19
Revenue
Code.
Additionally,
the
Iowa
earned
income
tax
credit
20
is
a
refundable
credit.
21
The
bill
raises
the
Iowa
earned
income
tax
credit
from
the
22
current
15
percent
of
the
federal
earned
income
tax
credit
to
23
30
percent
of
the
federal
earned
income
tax
credit.
24
The
bill
applies
retroactively
to
tax
years
beginning
on
or
25
after
January
1,
2023.
26
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