Administrative Rules - Adopted & Filed

The Iowa Department of Revenue previously submitted the following proposed rules to the Iowa Legislature. The following rules have been adopted and filed, effective March 13, 2024.

• Definitions The purpose of this rulemaking is to readopt Chapter 200, which consists solely of rule 701—200.1(423) and provides definitions that apply across other sales tax rules chapters. The Department revised the rule to remove portions of the rule that are unnecessary and duplicative of statutory language.
• Facilitating Business Rapid Response to State-Declared Disasters The purpose of this rulemaking is to readopt Chapter 276, which provides the Department’s rules for administering Iowa Code section 29C.24. Iowa Code section 29C.24 helps facilitate the rapid response of businesses and workers to a disaster by providing that out-of-state businesses and employees that perform disaster and emergency-related work on critical infrastructure during a disaster response period due to a state-declared disaster are not subject to income, corporate income, use, equipment; or property tax or tax filing, permit, or return requirements. The Department revised the rules to remove portions of the chapter that the Department determined are unnecessary and duplicative of statutory language.
• Local Option Sales and Services Tax The purpose of this rulemaking is to readopt Chapter 270. The Department revised the chapter to remove portions of the rules that the Department determined are obsolete or unnecessary or are duplicative of statutory language. The chapter describes the Department’s interpretation of the underlying statute to help the public understand local option taxes. These rules reduce uncertainty about when tax applies.
• Rebate of Iowa Sales Tax Paid The purpose of this rulemaking is to rescind Chapter 275 and adopt a new Chapter 275, which consists of rules relating to and interpreting sales and use tax rebates granted to sanctioned automobile racetrack facilities, baseball and softball complexes, and raceway facilities. The rules provide the rebate’s scope and applicability and the methods for obtaining a rebate by the eligible entities. The Department revised the rules for clarification and removal of portions of the rules that the Department has determined are unnecessary and duplicative of statutory language. The Department also renumbered some rules due to other edits and for organizational reasons.
• Refunds for Eligible Businesses Under Economic Development Authority Programs The purpose of this rulemaking is to readopt Chapter 278, which consists solely of rule 701—278.1(15). This rule interprets the underlying statutes and provides the scope and methods for obtaining a refund of sales and use tax paid for eligible businesses approved under programs by the Iowa Economic Development Authority. The Department revised the rule for clarification and to remove portions that the Department has determined are unnecessary and duplicative of statutory language.
• Remote Sales and Marketplace Sales The purpose of this rulemaking is to rescind Chapter 207 and adopt a new Chapter 207 with revisions to remove unnecessary restrictive terms and provide additional clarity. These rules describe the Department’s interpretation of the underlying statute to help the public understand requirements for remote and marketplace sellers. These rules reduce uncertainty about who must collect and remit Iowa sales tax. Citations to rule 701—213.10(423) in rule 701—207.11(423) refer to a rule that will be adopted in a future rulemaking.
• Rules Necessary to Implement the Streamlined Sales and Use Tax Agreement The purpose of this rulemaking is to readopt Chapter 204. The Department revised the chapter to remove portions of the rules that the Department determined are obsolete or unnecessary or that duplicate statutory language. Chapter 204 contains rules interpreting the Uniform Sales and Use Tax Act Administration and additional rules necessary to maintain compliance with the Streamlined Sales and Use Tax Agreement (SSUTA) and help the public understand tax policies that Iowa has adopted as part of implementing the SSUTA.
• Sales and Use Tax Refund for BIodiesel Production The purpose of this rulemaking is to readopt Chapter 277, which consists solely of rule 701—277.1(423), which provides and describes the process for taxpayers to obtain a refund of sales or use tax paid by biodiesel producers. The Department revised this chapter to remove portions of the rule that the Department determined were unnecessary and duplicative of statutory language.
• Sourcing of Taxable Services, Tangible Personal Property, and Specified Digital Products The purpose of this rulemaking is to readopt Chapter 205. The Department revised the chapter to remove portions of the rules that the Department determined are obsolete, are unnecessary, or are duplicative of statutory language. The chapter describes the Department’s interpretation of the underlying statute to help the public understand the sourcing of taxable services, tangible personal property, and specified digital products. These rules provide clarification about where a sale takes place in order to determine when and where Iowa sales or use tax applies.
• Telecommunication Services The purpose of the rulemaking is to rescind Chapter 217 and adopt a new Chapter 217. The Department revised the chapter to remove portions of the rules that the Department determined are obsolete, unnecessary, or duplicative of statutory language. The chapter describes the Department’s interpretation of the underlying statute to help the public understand the taxability of telecommunication services. The chapter also contains definitions necessary for the State to maintain compliance with the Streamlined Sales and Use Tax Agreement.

This information was sent via GovDelivery to those subscribed to receive Law & Policy updates from the Department. To receive notifications of resources and guidance issued by the Department, subscribe to updates by selecting the tax topics of interest.