Bill Text: IA SF136 | 2015-2016 | 86th General Assembly | Introduced

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Bill Title: A bill for an act exempting from the state sales tax the purchase price of tangible personal property sold and services furnished to a nonprofit food bank.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Introduced - Dead) 2015-02-09 - Subcommittee, Dotzler, Petersen, and Schultz. S.J. 252. [SF136 Detail]

Download: Iowa-2015-SF136-Introduced.html

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Senate File 136 - Introduced




                                 SENATE FILE       
                                 BY  DOTZLER

                                      A BILL FOR

  1 An Act exempting from the state sales tax the purchase price of
  2    tangible personal property sold and services furnished to a
  3    nonprofit food bank.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN



  1  1    Section 1.  Section 423.3, Code 2015, is amended by adding
  1  2 the following new subsection:
  1  3    NEW SUBSECTION.  101.  The sales price from the sale or
  1  4 rental of tangible personal property, or services furnished,
  1  5 to a nonprofit food bank, which tangible personal property
  1  6 or services are to be used by the nonprofit food bank for a
  1  7 charitable purpose.  For purposes of this subsection, "nonprofit
  1  8 food bank" means an organization organized under chapter 504
  1  9 and qualifying under section 501(c)(3) of the Internal Revenue
  1 10 Code as an organization exempt from federal income tax under
  1 11 section 501(a) of the Internal Revenue Code that maintains
  1 12 an established operation involving the provision of food or
  1 13 edible commodities or the products thereof on a regular basis
  1 14 to persons in need or to food pantries, soup kitchens, hunger
  1 15 relief centers, or other food or feeding centers that, as an
  1 16 integral part of their normal activities, provide meals or food
  1 17 on a regular basis to persons in need.
  1 18                           EXPLANATION
  1 19 The inclusion of this explanation does not constitute agreement with
  1 20 the explanation's substance by the members of the general assembly.
  1 21    This bill exempts from the sales tax the purchase price from
  1 22 the sale or rental of tangible personal property, or services
  1 23 furnished, to a nonprofit food bank if the property or services
  1 24 are to be used by the nonprofit food bank for a charitable
  1 25 purpose.  "Nonprofit food bank" is defined in the bill.
  1 26    By operation of Code section 423.6, an item exempt from the
  1 27 imposition of the sales tax is also exempt from the use tax
  1 28 imposed in Code section 423.5.
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