Petitioner, a health maintenance organization, is subject to Iowa's gross premium tax on insurance companies but does not pay the tax due to an exemption. Petitioner asks whether they are considered an insurance company as the term is used in Iowa Code section 422.34 which would exempt them from Iowa corporate income tax. The Director found that Petitioner is considered an insurance company as that term is used in Iowa Code section 422.34 and therefore, is exempt from Iowa corporate income tax.

The taxpayer filed a motion to delete certain identifying details. The Director found that the taxpayer had not met the requirements for this motion as identified in Iowa Administrative Code rule 701-7.9(2), including the lack of an affidavit, evidence or other argument that the information requested to be deleted constituted an unwarranted invasion of personal privacy. Therefore, the motion was denied without prejudice.

The Administrative Law Judge held that the Department did not err in including social security payments in calculating Taxpayer’s income for purposes of determining rent- reimbursement eligibility. Therefore, the ALJ affirmed the Department’s denial of Taxpayer’s claim for rent reimbursement. Neither party appeal the proposed decision of the ALJ; therefore, it became the Department’s final order under Iowa Administrative Code rule 701-7.19(8)(d).

Petitioner, a nonresident entity, entered into an agreement with an Iowa excursion gambling boat to run their online sportsbook, including serving as its withholding agent. Petitioner asked if it is required to withhold Iowa income tax on payments of sports wagering winnings. The Director found that Petitioner is required to withhold Iowa income tax on sports wagering winnings received by nonresidents, but not on sports wagering winnings received by Iowa resident pursuant to Iowa Code section 422.16.

The taxpayer was assessed individual income tax and interest for underpayment of 2021 income tax. The Administrative Law Judge (ALJ) affirmed the Department’s assessment of additional, unpaid tax and interest. The ALJ agreed with the Department that the taxpayer was not exempt from Iowa individual income tax. The ALJ determined that taxes withheld by an employer are approximations of what is owed, but that taxpayers may ultimately owe more than the amount withheld and the Department may assess taxpayers when such an amount remains unpaid. Iowa Code § 422.16(1)(a).