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. The committee is co-chaired by Sen. Joe Bolkcom (D-Iowa City) and Rep. Tom Sands (R-Muscatine), who also serve as chairmen of the Senate and House Ways and Means committees, respectively. Another meeting of the committee is scheduled for Dec. 9, where we expect the proposed Department of Revenue consumables/replacement parts rule changes to be discussed. An opportunity for public comment will be available and ABI plans to testify at this hearing in support of these rule changes. Also, the Legislature’s Fiscal Committee will meet Friday in Ames. Jeff Robinson of the Legislative Services Agency will present his analysis on the Department of Revenue proposed rule on the definition of machinery, equipment and replacement parts used in the manufacturing process that are tax exempt, among other agenda items.