Administrative Rules - Available for Public Comment; Adopted & Filed
The Iowa Department of Revenue has submitted new proposed rules to the Iowa Legislature, available for public comment through November 9, 2021. See individual notices below for details.
- Property Tax Assessment - Multiresidential and Dual Property
This proposed rule making is intended to implement 2021 Iowa Acts, House File 418, which eliminates the multiresidential property classification for property tax assessment purposes for assessment years beginning on or after January 1, 2022. The types of property previously classified as multiresidential will be classified as residential property beginning with valuations established on or after January 1, 2022. Additionally, this rule making addresses dual property classification and additional modifications to the rules related to the implementation of House File 418. Finally, this rule making corrects cross-references to the statute providing for the Department’s state appraisal manual to be used by assessors in assessing and valuing all classes of property in the state.
- Hoover Presidential Library Tax Credit
This proposed rule making implements 2021 Iowa Acts, House File 588, which creates a tax credit for donations made to the Hoover Presidential Foundation for the Hoover Presidential Library and Museum Renovation Project Fund. The credit is available against a number of different tax types for donations made on or after July 1, 2021, and during tax years beginning on or after January 1, 2021, but before January 1, 2024. These proposed rules describe requirements for claiming the tax credit, including tax credit certificate issuances, carryforward, and other claim restrictions and requirements. Cross-references in the proposed rules to 261—Chapter 43 and subrule 43.5(3) refer to that chapter and subrule as proposed in ARC 5908C, IAB 9/22/21.
- Tax Credit - Volunteer Firefighters, Volunteer Emergency Medical Services Personnel Members, and Reserve Peace Officers
This proposed rule making is intended to implement statutory changes to the tax credit amount for volunteer fire fighters, volunteer emergency medical services personnel, and reserve peace officers. 2021 Iowa Acts, Senate File 619, division XXIII, increases the amount of the credit from $100 per year to $250 per year for tax years beginning on or after January 1, 2021.
- Tuition and Textbook Credit for Expenses Incurred for Dependents
This proposed rule making is intended to implement statutory changes related to eligibility for the tuition and textbook tax credit and the rate of the credit. 2021 Iowa Acts, House File 847, increases the tax credit rate to 25 percent of the first $2,000 of eligible expenses from 25 percent of the first $1,000 of eligible expenses for tax years beginning on or after January 1, 2021. The legislation also expands eligibility for the credit to taxpayers whose dependents receive private instruction. The proposed rule making clarifies that a tuition or textbook expense must be required by an elementary or secondary school in Iowa to be eligible for the credit. The rule making provides a list of examples of tuition items that may be eligible for the credit. The rule making also adds examples of extracurricular expenses that will or will not qualify for the credit.
The Department previously submitted the following proposed rule to the Iowa Legislature. The following rules have been adopted and filed, effective November 24, 2021.
- Tax Credit Rate and Total School Tuition Organization Tax Credits
This rule making is primarily intended to implement statutory changes to the tax credit rate and the total school tuition organization tax credits that may be authorized each calendar year. 2021 Iowa Acts, House File 847, increases the tax credit rate to 75 percent from 65 percent for tax years beginning on or after January 1, 2021, and increases the amount of the credit available to taxpayers in 2022 and subsequent years. These amendments implement the provision which eliminated the cap on the percentage of total tax credits that could be approved each year for a corporation and update the rules to reflect recent legislative changes to the 2020 and 2021 tax credit caps and certain administrative terms, including the definition of “eligible student.” Finally, this rule making clarifies that a taxpayer must take the credit in the tax year in which the contribution is made. No changes were made to the Notice of Intended Action for this rule making.
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