IDR Releases Updated Guidance: Extension for Certain Pass-through Entities and Updates to Iowa Composite Return

Wednesday - 06/29/2022

On June 28, 2022, the Director of the Iowa Department of Revenue issued Order 2022-02 granting a filing extension for short-year composite returns. The Department has updated guidance to explain this tax change as it relates to the following:

  • Iowa Composite Returns for Tax Year 2022 and Later
    Order 2022-02 grants an extension to certain pass-through entities with a short tax year to file their 2022 Iowa Composite Return under Iowa Code section 422.16B. Pass-through entities with a short tax year beginning and ending in calendar year 2022 will have until May 1, 2023, to file their Iowa Composite Return under Iowa Code section 422.16B without incurring a late filing penalty. The Order does not extend the deadline for paying any short-year composite return tax due under Iowa Code section 422.16B, nor does it extend the filing or payment deadline for a pass-through entity’s short-year income tax return (IA 1065, IA 1120S, or IA 1041). This guidance includes further information regarding the filing extension and explains the composite return requirements for fiscal-year pass-through entities for tax year 2021. 

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