Legislative News

Jun 30, 2022

Iowa Department of Revenue Changes in Sales and Use Tax Collections Effective July 1st

Some efficiencies in the collection of sales and use taxes the Iowa Department of Revenue instituted through law this session that become effective on July 1, 2022.

Apr 14, 2022

Tax Reform 2.0

Both the House and Senate are moving separate bills with many important pieces of tax policy that were not considered when the larger tax cut bill was passed earlier this year.

Apr 7, 2022

Tax Exemption on Aircraft Repair Parts and Labor Lands on Governor Reynolds’ Desk

After years in a holding pattern, the legislature has acted on SF 2370, which is a bill that would lift the taxes currently collected on repair parts and labor for general aviation airplanes.

Mar 25, 2022

Second Tax Bill Passes Senate

Feb 24, 2022

Tax Reform Bill Awaits Governor’s Approval

In a fast-moving agreement between Gov. Kim Reynolds, the Iowa House and Iowa Senate, lawmakers took legislative action on a sweeping tax reduction and reform proposal.

Feb 4, 2022

Activity Continues This Week with Efforts to Reform and Reduce Taxes

The House and Senate Tax Committees scheduled time this week to consider their respective tax bills in full committee.

Jan 27, 2022

Governor, Senate and House Republicans all Unveil Significant Tax Cuts & Reform Package - A Comparison

This week saw the emergence of tax reform and reduction plans from Governor Reynolds, and the majority Republicans in both the House and Senate.

Jan 20, 2022

Governor Unveils Tax Bill

On Wednesday January 19, 2022 Governor Reynold’s tax reform plan that she announced last week was officially introduced in the legislature.

Sep 24, 2021

ABI and Members Sign Onto Letter Opposing Federal Tax Hikes

The Iowa Association of Business and Industry's (ABI) members joined forces with other stakeholders by signing onto a letter addressed to our Congressional Delegation, encouraging them not to support tax increases that would jeopardize future growth and set back the business community’s recovery from the pandemic.

Sep 24, 2021

ABI Joins Coalition in Opposition to Proposed IRS Reporting Requirements

Jun 18, 2021

Governor Signs Tax Bill – ABI Priorities Become Law

Iowa Governor Reynolds signed into law SF619, the centerpiece of the 2021 legislative session. The bill brings certainty to income tax cuts passed in 2018 but not yet enacted...

Jun 18, 2021

ABI Public Policy Staff Continues to Communicate the Adverse Impact of Marketable Food Products for Human Consumption Administrative Rule

ABI public Policy staff has been engaged on behalf of members in the food processing industry seeking to change the course of Iowa Department of Revenue's proposed rule ARC 5614C. The rule relates to the sales taxation of inputs used to produce marketable foods for human consumption.

May 21, 2021

Iowa Department of Revenue Proposes New Rule on “Marketable Food Products for Human Consumption”

Jan 21, 2021

DOR Releases Computer, Computer Peripherals Tax Guidance

On Monday, the Iowa Department of Revenue (DOR) unveiled guidance related to sales tax treatment of computers and computer peripherals.

Jan 14, 2021

DOR Seeks Volunteers for Modernization Focus Groups

The DOR is currently in the process of modernizing its tax and license administration system.

Jan 7, 2021

Treasury and IRS Announce PPP Expenses Now Deductible

Nov 12, 2020

COST: Iowa Businesses High Share of Tax Liability

According to the annual business tax burden study by Council on State Taxation (COST), Iowa businesses shoulder a larger portion of state and local taxes than businesses in California, Illinois and New Jersey to name a few.

Oct 8, 2020

Register for DOR Legislative Update Webinar

The Iowa Department of Revenue (DOR) will host a free webinar to discuss 2020 legislative updates that impact taxation in Iowa. 

Sep 3, 2020

DOR Extends Tax Filing Deadlines for Businesses Affected By Governor’s Latest Proclamation

Last week, the Iowa Department of Revenue (DOR) announced they would extend some tax filing deadlines for certain businesses affected by COVID-19.

Jul 16, 2020

Latest DOR Rules Unveiled This Week

This week, the Iowa Department of Revenue (DOR) filed a notice rule, ARC 5077C, that changes the department’s policy as it relates to affiliated corporations.

May 7, 2020

Dept. of Revenue Announces Continued Deferral Applications

On Wednesday, Iowa Department of Revenue Director Kraig Paulsen stated Iowa businesses can continue to apply for a deferral of state sales and/or withholding tax as a part of the Iowa Small Business Relief Tax Deferral Program. 

Apr 30, 2020

DOR Update on State Tax Deadlines

The Iowa Department of Revenue issued a reminder on Tuesday that although certain tax deadlines have been extended by Gov. Reynolds and the department, there are a number of important deadlines that will hit very soon. 

Mar 26, 2020

DOR Extends Income Tax and Other Tax Types Filing and Payment Deadline

Iowa Department of Revenue Director Kraig Paulsen signed an order that will extend filing and payment deadlines for income, franchise and moneys and credits taxes with a due date on or after March 19 and before July 31, to a new deadline of July 31.

Feb 13, 2020

Feedback Requested: Manufacturing Exemption Rule

During the last legislative session, ABI was instrumental in getting a clarification to a definitional change in the 2018 tax bill related to manufacturers primarily engaged in manufacturing.

Jan 2, 2020

Business Tax Changes Have Arrived

As we move into 2020, it’s important to note significant changes to Iowa’s tax code that will affect the business community. 

Dec 19, 2019

DOR Releases Latest Contingent Liabilities Report

The Iowa Department of Revenue unveiled the December 2019 Contingent Liabilities Report this week. 

Nov 7, 2019

DOR Hosting Webinar on W-2s and 1099s

The DOR, in conjunction with the Center for Business Growth and Innovation at the University of Northern Iowa, will offer a free webinar about the new requirements for submitting W-2s and 1099s to DOR electronically. 

Oct 31, 2019

Tax Credit Review Committee Meets

ABI public policy staff attended the initial interim tax credit review committee at the Capitol on Wednesday.

Oct 24, 2019

Tax Credit Review Committee to Meet Next Week

The Joint Tax Credit Review Committee will meet next Wednesday, Oct. 30 at the Capitol to begin a review of Iowa’s tax credits. 

Oct 3, 2019

DOR Webinar on 2019 Legislative Changes

The Department of Revenue will hold a free webinar Wednesday, Oct. 9, to provide an update on legislative changes from the 2019 session. 

Aug 29, 2019

Legislature Announces Tax Credit Review Committee

This week the Legislature announced members of the Tax Credit Review Committee that will meet this fall and report back to the Legislature. 

Aug 15, 2019

ABI Attends Administrative Rules Meeting

Brad Hartkopf, director, public policy, attended the monthly Administrative Rules Review Committee meeting earlier this week at the Capitol. 

Aug 1, 2019

Department of Revenue Proposes Rules

The Department of Revenue has submitted Notices of Intended Action for two rules that affect ABI member companies. 

Jul 2, 2019

DOR Issues Guidance and Rule Regarding Marketplace Facilitators and Remote Sellers

The Iowa Department of Revenue recently unveiled updated guidance for marketplace facilitators and remote sellers. 

Jun 27, 2019

Director of Revenue to Address Tax Committee

The Director of the Department of Revenue Kraig Paulsen will speak to attendees at the ABI Tax Policy Committee meeting on Thursday, August 15. 

Apr 25, 2019

Local Government Property Tax Transparency Passes Legislature

The Iowa Senate on Wednesday debated SF 634, which prescribes the process a local government must follow when increasing property taxes.

Apr 18, 2019

Hearing Held on Senate Property Tax Bill

The Senate on Tuesday introduced its proposed changes to property tax.

Apr 18, 2019

Tax Cleanup Bills Advance

The Iowa Senate and House have each advanced legislation that seeks to clean up some of the issues that arose from the passage of SF 2417, a comprehensive tax policy bill in the 2018 legislative session. 

Apr 11, 2019

Property Tax Legislation Ready for Full House Discussion

Late Tuesday evening members of the House Ways and Means Committee voted on a party-line vote to advance HSB 165 with amendment to the full House for consideration. 

Mar 28, 2019

Tax Cleanup Legislation Unveiled

Legislation to address changes made in the comprehensive tax reform bill of 2018 was introduced Tuesday. 

Mar 21, 2019

Department Of Revenue Issues Guidance Regarding New Tax Legislation

Gov. Reynolds signed SF 220 into law last Friday. 

Feb 21, 2019

Department of Revenue Proposes Remote Sellers Rule

The Department of Revenue provided notice of rules to implement the sales tax collection requirements imposed on marketplace facilitators and remote sellers by the tax reform bill passed by the Iowa Legislature in 2018. 

Feb 7, 2019

Tax Cleanup Bill Passes Senate Ways and Means

The Senate Ways and Means Committee met on Wednesday to consider two pieces of legislation. 

Jan 17, 2019

Governor’s Budget Director Unveils $7.65+ Billion Budget

Prior to the governor’s Condition of the State on Tuesday, Director of Management David Roederer provided reporters a pen and paper review of the state budget. 

Jan 10, 2019

Tax Expenditure Committee Meets

The legislative tax expenditure committee met Tuesday, Jan. 8 to review specific tax credit programs and discuss potential legislative changes.

Jan 3, 2019

Department of Revenue Proposes Additional Rules

The Department of Revenue continues to propose new rules after the passage of SF 2417, the tax reform bill, last legislative session.

Dec 13, 2018

ABI Comments at Administrative Rules on Tax Issues

ABI Senior Vice President, Public Policy Nicole Crain testified before the Administrative Rules Review Committee (ARRC) concerning a proposed tax rule being issued by the Department of Revenue last Friday. 

Dec 6, 2018

Revenue Director to Resign in January

Courtney Kay-Decker, director of the Iowa Department of Revenue, is set to resign on January 2nd for a job in the private sector.

Nov 29, 2018

DOR Rules Hearing

On Tuesday, the Department of Revenue held a public hearing on proposed rules meant to implement changes from the state tax reform legislation passed last session. 

Nov 21, 2018

ABI Requests Feedback on Manufacturer Rule

The Iowa Department of Revenue recently proposed rules related to the definition of manufacturer. The rules come as a result of the tax reform bill, SF 2417, that passed last legislative session.

Nov 15, 2018

Reminder: Feedback Requested on DOR Rules

The Department of Revenue will hold a public hearing on Tuesday, Nov. 27 on draft rules that were necessary as a result of SF 2417. 

Nov 1, 2018

IDOR Issues Updated Guidance on DPAD

The Iowa Department of Revenue has released additional information regarding compliance with new tax changes concerning the Domestic Production Activities Credit (DPAD). 

Sep 27, 2018

DOR Issues Updated Guidance and Rules on Research Activities Credit and 179 Expensing

The Iowa Department of Revenue has released instructions on how to fully comply with changes made to the Research Activities Credit.

Aug 16, 2018

Department of Revenue Rules Released for Comment

The Iowa Department of Revenue has provided ABI draft rules in light of the passage of tax reform legislation last session. 

Jun 28, 2018

Supreme Court Decision Allows States to Collect Sales Tax for Online Sales

The United States Supreme Court, in a 5-4 decision on June 21, overturned the Quill Corp. vs. North Dakota case, which prohibited states from charging sales tax unless the business had a physical presence in the state.

Jun 14, 2018

Department of Revenue Guidance on Tax Reform

The Iowa Department of Revenue has dedicated a portion of its website to the 2018 tax reform legislation.

May 31, 2018

Governor Signs Historic Tax Legislation

Wednesday in Hiawatha Gov. Reynolds signed the first income tax reduction and reform legislation in 20 years.

May 3, 2018

Governor Announces Tax Deal, Amendment Just Released

Last Friday, April 27, the Governor announced a deal had been made with the Iowa House and Senate Leadership for historic tax relief for Iowans. 

Apr 26, 2018

Tax Reform Still Being Considered

As the Legislature works toward adjournment and final budget decisions, tax reform is still on the table.

Apr 12, 2018

Special ABI Tax Policy Call on Friday, April 13

The ABI public policy team will provide a legislative update focused on tax reform tomorrow Friday, April 13 at 10 a.m.

Apr 12, 2018

ABI President Testifies at Tax Meetings

ABI President Mike Ralston testified Monday evening at the public hearing on HSB 671, or the Governor’s tax reform proposal.

Apr 12, 2018

100th Day of the Legislative Session Approaching: Tax Reform at Forefront

The 100th day of the 2018 legislative session is set to arrive next week.

Apr 5, 2018

Bill to Address Revenue Challenges Receives Hearing

Thursday morning members of a House Appropriations Subcommittee met to discuss HSB 684. 

Apr 5, 2018

House Appropriations Subcommittee Advances Bill to Phase Out Backfill

A subcommittee met Wednesday afternoon to discuss HSB 678, which phases out the property tax backfill payments to local and county governments.

Mar 22, 2018

De-appropriations Bill Heads to Gov. Reynolds’ Desk

The House and Senate approved of a de-appropriations bill for fiscal year 2018 this week, and that bill will now head to Gov. Reynolds’ desk for her review.

Mar 1, 2018

$1 Billion Tax Cut Bill Passes Senate

The Iowa Senate on Wednesday passed SF 2383, which would cut Iowans’ tax liability by more than a billion dollars annually once fully implemented.

Mar 1, 2018

Subcommittee Discusses Eliminating Property Tax Backfill

A subcommittee was held Tuesday to begin discussions on eliminating the property tax backfill allocated to local governments by the state. 

Feb 22, 2018

Senate Unveils Tax Plan

Sen. Randy Feenstra (R-Hull) on Wednesday released SSB 3197, a tax reform bill that will lower individual and corporate income tax rates.

Feb 15, 2018

Gov. Reynolds Unveils Tax Plan

On Tuesday, Feb. 13, Gov. Reynolds released a summary of her comprehensive tax policy bill.

Nov 2, 2017

Federal Spotlight – Tax Reform Details Revealed

The Tax Cuts and Jobs Act was unveiled on Thursday. 

Aug 31, 2017

Switch to W-2 filing extended

Jul 13, 2017

Committee Spotlight: Tax

Leading up to our ABI policy committee meetings in late summer, we will highlight each of ABI’s five policy committees, so you know more about the mission and purview of each. 

Apr 20, 2017

Tax credit bill advances

Apr 6, 2017

House Appropriations subcommittee advances tax credit legislation

Mar 23, 2017

Legislators consider tax credit caps

Rep. Pat Grassley (R-New Hartford) introduced legislation last week that would limit the amount of tax credits available to individuals and corporations.

Mar 16, 2017

Bill to limit tax credits proposed

Mar 9, 2017

House Appropriations and Ways & Means committees discuss tax credits at joint meeting

Members of the Iowa House Appropriations and Ways & Means committees met jointly Wednesday to hear a tax credit presentation from the Legislative Services Agency.

Feb 23, 2017

Iowa Department of Revenue issues guidance on non-conformity

Several weeks ago, ABI reported in our weekly newsletter that the State of Iowa is not going to couple with federal tax law changes for the 2016 tax year. This left many practitioners and the public wondering what to do.

Jan 26, 2017

Legislative action heats up: No coupling for 2016

The Iowa Senate started Wednesday morning with fiery comments coming from the Senate Democratic minority on topics ranging from health care funding to tax coupling and increasing the minimum wage.

Dec 22, 2016

Joint Tax Expenditure Committee meets, discusses research activities credits

On Monday, Tax Expenditure Committee, a joint committee comprised of state senators and representatives, held its second and final meeting before the legislative session to review specific tax credit programs including the Research Activities tax credits, the High Quality Jobs Program and the earned income tax credit.

Dec 8, 2016

Iowa Department of Revenue hosts webinar on electronic filing

The Iowa Department of Revenue will host a webinar at noon on Dec. 14 to provide information about the new requirements for submitting W-2s and 1099s electronically.

Nov 17, 2016

Revenue rules final, environmental rules noticed

Members of the Administrative Rules Review Committee met Monday to hear from state agencies on rules ranging from the sales and use tax exemption for manufacturers to a copper biotic ligand model for environmental purposes.

Nov 10, 2016

Administrative Rules Review Committee meets Monday

The Administrative Rules Review Committee meets Monday to formally adopt the sales and use tax supplies exemption for manufacturers.

Oct 13, 2016

Sales tax exemption rules final

The Iowa Department of Revenue has filed the final rules for sales and use tax exemptions related to supplies used in the manufacturing process.

Sep 29, 2016

Department of Revenue rules final

The Iowa Department of Revenue has finalized rules that require employers with at least 50 employees to electronically file W-2 and 1099 forms by January 1, 2017 for tax year 2016.

Aug 11, 2016

ABI comments on Iowa Department of Revenue rules

Nicole Crain, ABI’s Senior Vice President, Public Policy, testified last week before the Administrative Rules Review Committee on the Iowa Department of Revenue’s proposed rules for sales and use tax exemptions on supplies used in the manufacturing process.

Aug 4, 2016

Sales tax exemption goes before administrative rules committee Friday

Jul 21, 2016

Sales and use tax rule proposed

The Iowa Department of Revenue has proposed an administrative rule to implement sales and use tax exemptions for supplies used in manufacturing.

Jul 7, 2016

Department of Revenue to require electronic filing for W-2

Jun 30, 2016

Property Tax Credit Application due FRIDAY

If you have purchased commercial or industrial property you must file an application if you want to receive a property tax credit.

Jun 23, 2016

Property tax credit applications due July 1

Have you taken advantage of the business property tax credit after it passed in 2013?

Jun 2, 2016

Tax and economic development policy bills signed into law

In addition to the budget bills signed by Gov. Terry Branstad last week, tax and economic development policy bills were also signed.

Mar 31, 2016

Renewable chemical bill advances to governor

The Iowa House on Wednesday passed legislation to allow for a new biorenewable chemical production tax credit, and the bill is now on its way to Gov. Terry Branstad to sign.

Mar 31, 2016

Local Option Sales Tax receives consideration

Mar 24, 2016

Governor signs coupling and consumables legislation

Mar 24, 2016

Feedback requested on proposed local option tax

The House Ways and Means Committee assigned a bill late last week that changes the method for local option sales tax elections.

Mar 17, 2016

ABI priorities sent to Governor

Mar 17, 2016

Biochemical tax credit program bills advance

Bills that create the new biochemical production tax credit program advanced this week. ABI supports this proposal.

Mar 10, 2016

Legislature proposes bill to couple with federal taxes, codify consumables

Two of ABI’s legislative priorities passed the Ways and Means committees in both chambers Thursday morning.

Mar 3, 2016

Annual Tax Increment Financing legislation introduced

This week several TIF bills were considered in subcommittees by the House and Senate.

Mar 3, 2016

Renewable chemical bill advances in Senate

Feb 11, 2016

Department of Revenue rule final

The Administrative Rules Review Committee met Friday, Feb. 5, to hear from state agencies on various proposed rules.

Feb 4, 2016

Take Action: Support coupling bill

Small businesses, farmers and CPAs are all looking to the Iowa Senate to take action on coupling bill HF 2092.

Feb 4, 2016

SAVE discussions begin

The Iowa House on Tuesday started the conversation regarding extending the statewide penny for school infrastructure.

Feb 4, 2016

Business Property Tax Credit applications due March 15

As a reminder, businesses can apply for a property tax credit for commercial and industrial property as part of the property tax legislation that passed in 2013.

Jan 28, 2016

Federal coupling bill passes House

A bill to couple Iowa’s tax law with the federal changes for calendar year 2015 passed the Iowa House with a large bipartisan majority (82-14) on Thursday.

Jan 28, 2016

Biochemical bill receives House feedback

Members of an Iowa House Economic subcommittee met Wednesday to discuss incentives for renewable biochemical production efforts in Iowa. 

Jan 21, 2016

Iowa House introduces tax conformity legislation

Jan 14, 2016

Biochemical renewable production tax credit introduced

Gov. Terry Branstad also addressed the renewable chemical production tax credit during his Condition of the State address on Tuesday.

Dec 10, 2015

Manufacturing sales tax rule advances

The Iowa Department of Revenue on Tuesday presented an update on the proposed rule to clarify the definition of machinery, equipment and replacement parts used in the manufacturing process that are tax exempt.

Dec 10, 2015

Tax credits reviewed during committee meeting

Members of the legislatively-appointed tax expenditure committee met Wednesday to review tax credits and exemptions.

Dec 10, 2015

Department of Revenue holds property tax webinar

A free online webinar is scheduled on Dec. 16 from noon to 1:00 p.m.

Nov 19, 2015

Tax Expenditure Committee meets

The Iowa Legislature’s Tax Expenditure Committee, which performs a scheduled review of specified tax credits, met Wednesday to review various tax credits including agricultural assets transfer tax credits, custom farming contract tax credits, claim of right tax credits, S corporation apportionment tax credits, alternative minimum tax credits, assistive device corporate tax credits, charitable conservation contribution tax credits, motor vehicle fuel tax credits and new jobs tax credits.

May 7, 2015

Tax bills under debate

Several tax-related bills remain received consideration this week

Apr 30, 2015

Iowa House introduces proposal to allow local option sales tax

Apr 30, 2015

Bill eliminating board of tax review moves forward

Apr 23, 2015

Busy week for tax policy

The House and Senate held several meetings on tax policy this week.

Apr 2, 2015

Tax bills receive hearing

Members of House Ways and Means Committee heard from lobbyists on several pieces of proposed tax policy dealing with everything from sales and use tax exemption for construction to one-time exclusion of capital gains from sale of stock.