Bill Text: IA SF194 | 2015-2016 | 86th General Assembly | Introduced

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Bill Title: A bill for an act striking certain statutory repeal provisions relating to the state sales and use tax and the secure an advanced vision for education fund.

Spectrum: Partisan Bill (Independent 1-0)

Status: (Introduced - Dead) 2015-02-11 - Subcommittee, Quirmbach, Dvorsky, and Johnson. S.J. 284. [SF194 Detail]

Download: Iowa-2015-SF194-Introduced.html

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Senate File 194 - Introduced




                                 SENATE FILE       
                                 BY  JOHNSON

                                      A BILL FOR

  1 An Act striking certain statutory repeal provisions relating
  2    to the state sales and use tax and the secure an advanced
  3    vision for education fund.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN



  1  1    Section 1.  Section 423.2, subsection 11, paragraph b,
  1  2 subparagraph (3), Code 2015, is amended to read as follows:
  1  3    (3)  Transfer one=sixth of the remaining revenues to the
  1  4 secure an advanced vision for education fund created in section
  1  5 423F.2. This subparagraph (3) is repealed December 31, 2029.
  1  6    Sec. 2.  Section 423.2, subsection 13, Code 2015, is amended
  1  7 by striking the subsection.
  1  8    Sec. 3.  Section 423.5, subsection 5, Code 2015, is amended
  1  9 by striking the subsection.
  1 10    Sec. 4.  Section 423.43, subsection 1, paragraph b, Code
  1 11 2015, is amended to read as follows:
  1 12    b.  Subsequent to the deposit into the general fund of
  1 13 the state and after the transfer of such revenues collected
  1 14 under chapter 423B, the department shall transfer one=sixth of
  1 15 such remaining revenues to the secure an advanced vision for
  1 16 education fund created in section 423F.2. This paragraph is
  1 17 repealed December 31, 2029.
  1 18    Sec. 5.  REPEAL.  Section 423F.6, Code 2015, is repealed.
  1 19                           EXPLANATION
  1 20 The inclusion of this explanation does not constitute agreement with
  1 21 the explanation's substance by the members of the general assembly.
  1 22    Code section 423.2 imposes a state sales tax of 6 percent
  1 23 upon the sales price of all sales of tangible personal
  1 24 property, consisting of goods, wares, merchandise, and other
  1 25 items designated by statute, sold at retail in the state to
  1 26 consumers, except as otherwise provided by Code chapter 423.
  1 27 Generally, by operation of law, a sale subject to the sales
  1 28 tax is also subject to the use tax. Following the transfer
  1 29 of amounts required by statute, one=sixth of the remaining
  1 30 state sales tax revenue from the 6 percent tax is transferred
  1 31 to the secure an advanced vision for education (SAVE) fund
  1 32 created in Code section 423F.2.  Moneys in the SAVE fund are
  1 33 allocated to school districts on a per pupil basis to be
  1 34 used for infrastructure and property tax reduction purposes
  1 35 specified in Code chapter 423F.  Under current law, the sales
  2  1 and use tax rate of 6 percent is reduced to 5 percent on January
  2  2 1, 2030, and Code chapter 423F, along with other corresponding
  2  3 provisions, is repealed December 31, 2029.
  2  4    This bill repeals Code section 423F.6, which currently
  2  5 provides for the repeal of Code chapter 423F on December 31,
  2  6 2029.  The bill also strikes corresponding repeal provisions
  2  7 relating to the allocation of sales tax revenue and provisions
  2  8 that reduce the state sales and use tax rate from 6 percent to 5
  2  9 percent beginning January 1, 2030.
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