Iowa Administrative Code

701—7.20(17A). [ARC 8944C, IAB 2/19/25, effective 3/26/25]

set forth in 701—subrule 7.18(11). [ARC 8944C, IAB 2/19/25, effective 3/26/25]

6.25(1) Director’s final decision. When the director presides over the reception of evidence at the hearing, the director’s decision is a final decision. 6.25(2) Proposed decision. When the director does not preside at the reception of evidence, the presiding officer makes a prop…

6.26(1) Appeal by party. Any adversely affected party may appeal a proposed decision to the director within 30 days after issuance of the proposed decision. 6.26(2) Review. The director may initiate review of a proposed decision on the director’s own motion at any time within 30 …

department are set forth in rule 701—7.21(17A). [ARC 8944C, IAB 2/19/25, effective 3/26/25]

6.28(1) When available. a. Department appeal. Any party to a contested case proceeding may petition the department for a stay of an order issued in that proceeding or for other temporary remedies, pending review. The petition shall be filed with the notice of appeal and shall sta…

material fact exists as to a matter that would be a contested case if such a dispute of fact existed, the parties may present all relevant admissible evidence either by stipulation or otherwise as agreed by the parties, without necessity of an evidentiary hearing. If such agreeme…

701—7.4(17A). [ARC 8944C, IAB 2/19/25, effective 3/26/25]

6.30(1) Necessary emergency action. To the extent necessary to prevent or avoid immediate danger to the public health, safety, or welfare and consistent with the Constitution and other provisions of law, the department may issue a written order in compliance with Iowa Code sectio…

culminated in contested case proceedings may attempt informal settlement by complying with the procedures set forth in this rule. No party is required to settle the controversy or contested case by submitting to informal settlement procedures. 6.31(1) Parties desiring informal se…

6.5(1) Delivery. Delivery of the notice of hearing constitutes the commencement of the contested case proceeding. Delivery may be executed by: a. Personal service as provided in the Iowa Rules of Civil Procedure; or b. Certified mail, return receipt requested; or c. Publication, …

6.6(1) Administrative law judge. The director may appoint an administrative law judge as presiding officer in all contested case hearings pursuant to Iowa Code chapter 99G or 123. 6.6(2) Appeal. Except as provided otherwise by another provision of law, all rulings by an administr…

contested case proceeding may waive any provision of this chapter. However, the department in its discretion may refuse to give effect to such a waiver when it deems the waiver to be inconsistent with the public interest. [ARC 8944C, IAB 2/19/25, effective 3/26/25]

procedural motions by telephone or videoconference in which all parties have an opportunity to participate. Other telephone or video proceedings may be held with the consent of all parties. The presiding officer will determine the location of the parties and witnesses for telepho…

department are provided in 701—subrule 7.18(12). [ARC 8944C, IAB 2/19/25, effective 3/26/25]

600.1(1) When the word “department” appears herein, it refers to and is synonymous with the “Iowa Department of Revenue”; the word “director” is the “Director of Revenue” or the director’s authorized assistants and employees; the word “tax” is the “franchise tax on financial inst…

600.2(1) Periods of audit. a. The department has three years after a return has been filed or three years after the return became due, including any extensions of time for filing, whichever time is the later, to determine whether any additional tax other than that shown on the re…

600.3(1) Every financial institution subject to the tax imposed by Iowa Code section 422.60 (whether or not the financial institution incurs liability for the tax) shall retain its books and records as required by Section 6001 of the Internal Revenue Code and federal income tax r…

depends upon specific legislative Acts, and only where there is a clear provision can any particular deduction be allowed. Therefore, a deduction will be allowed only if the taxpayer can establish the validity and correctness of such a deduction. 71 Am. Jur. 2d State and Local Ta…

600.5(1) A jeopardy assessment may be made where a return has been filed and the director believes for any reason that collection of the tax will be jeopardized by delay, or where a taxpayer fails to file a return, whether or not formally called upon to file a return. The departm…

director, deputies, auditors, examiners, agents, present or former officers and employees of the department. Disclosure of information from a taxpayer’s filed return or report or other confidential state information by department of revenue personnel to a third person is prohibit…

to the authorized assistants and employees the power to examine returns and make audits, and to determine the correct amount of tax due, subject to review by or appeal to the director. This rule is intended to implement Iowa Code sections 422.66 and 422.70. [Editorial change: IAC…

This rule is intended to implement Iowa Code sections 15E.364 and 422.60(14) as enacted by 2021 Iowa Acts, House File 588, sections 1 and 4. [ARC 6267C, IAB 4/6/22, effective 5/11/22; Editorial change: IAC Supplement 11/2/22; Editorial change: IAC Supplement 10/18/23]

regardless of net income, shall file a true and accurate return of its income or loss for the taxable period. The return shall be signed by the president or other duly authorized officer. If the financial institution was inactive or not doing business within Iowa, although qualif…

tax years beginning on or after January 1, 2001, a historic preservation and cultural and entertainment district tax credit, subject to the availability of the credit, may be claimed against a taxpayer’s Iowa franchise tax liability for 25 percent of the qualified rehabilitation …

601.11(1) Investment tax credit for an equity investment in a community-based seed capital fund or qualifying business. a. Equity investments in a qualifying business or community-based seed capital fund before January 1, 2011. See rule 123—2.1(15E) for the discussion of the inve…

after January 1, 2003, a business which qualifies under the new capital investment program is eligible to receive tax credits. An eligible business under the new capital investment program must be approved by the Iowa department of economic development and meet the qualifications…

2003, a taxpayer who makes an endowment gift to an endow Iowa qualified community foundation may qualify for an endow Iowa tax credit, subject to the availability of the credit. For tax years beginning on or after January 1, 2003, but before January 1, 2010, the credit is equal t…

wage-benefits tax credit, subject to the availability of the credit, equal to a percentage of the annual wages and benefits paid for a qualified new job created by the location or expansion of the business in Iowa is available for eligible financial institutions. For information …

July 1, 2006, owners of qualified wind energy production facilities approved by the Iowa utilities board may claim a wind energy production tax credit for qualified electricity sold by the owner against a taxpayer’s Iowa franchise tax liability. For information on the application…

1, 2006, a purchaser or producer of renewable energy whose facility has been approved by the Iowa utilities board may claim a renewable energy tax credit for qualified renewable energy against a taxpayer’s Iowa franchise tax liability. For information on the application and revie…

2005, for programs approved on or after July 1, 2005, but before July 1, 2009, a business which qualifies under the high quality job creation program is eligible to receive tax credits. The high quality job creation program replaces the new jobs and income program and the new cap…

ending on or after July 1, 2005, but beginning before January 1, 2010, a taxpayer who makes a contribution to an economic development region revolving fund may claim a tax credit, subject to the availability of the credit. The credit is equal to 20 percent of a taxpayer’s contrib…

January 1, 2007, but beginning before January 1, 2012, a film qualified expenditure tax credit is available for franchise tax. The tax credit is equal to 25 percent of the taxpayer’s qualified expenditures in a film, television, or video project registered with the film office of…

601.2(1) Returns of financial institutions. A return of income for all financial institutions must be filed on or before the delinquency date. The delinquency date for all financial institutions is the day following the last day of the fourth month following the close of the taxp…

2007, but beginning before January 1, 2012, a film investment tax credit is available for franchise tax. The tax credit is equal to 25 percent of the taxpayer’s qualified expenditures in a film, television, or video project registered with the film office of the Iowa economic dev…

a business which qualifies under the high quality jobs program is eligible to receive tax credits. The high quality jobs program replaces the high quality job creation program. An eligible business under the high quality jobs program must be approved by the Iowa department of eco…

years beginning on or after January 1, 2014, a solar energy system tax credit is available for business property described in Sections 48(a)(2)(A)(i)(II) and 48(a)(2)(A)(i)(III) of the Internal Revenue Code and located in Iowa. The credit is available to financial institutions ac…

workforce housing tax incentives program is eligible to receive tax incentives for franchise tax. For information on how the workforce housing tax incentives can be claimed, how the investment tax credit can be transferred and other details about the workforce housing tax incenti…

601.24(1) Sequencing of credit deductions. The credits against computed tax set forth in Iowa Code section 422.60 shall be claimed in the following sequence. a. Alternative minimum tax credit (for tax years beginning during 2021 only). b. Qualifying business investment tax credit…

available according to the same requirements, conditions, and limitations as described in rule

according to the same requirements, conditions, and limitations as described in rule 701—304.58(237A) and 261—Chapter 57. This rule is intended to implement Iowa Code section 237A.31. [ARC 8201C, IAB 8/21/24, effective 9/25/24] [Filed 4/28/78, Notice 3/22/78—published 5/17/78, ef…

601.3(1) Use and completeness of prescribed forms. Returns shall be made by financial institutions on forms supplied by the department. Taxpayers not supplied with the proper forms shall make application for same to the department in ample time to have their returns made, verifie…

601.4(1) Quarterly estimated payments. Effective for taxable years beginning on or after July 1, 1977, financial institutions are required to make quarterly payments of estimated franchise tax. Rules pertaining to the estimated tax are contained in 701—Chapter 604. 601.4(2) Reser…

601.5(1) Reserved. 601.5(2) For tax years beginning after 1997, a small business corporation or a new corporation, that is a financial institution, for its first year of existence, that through the operation of Internal Revenue Code Section 55(e) is exempt from the federal altern…

601.6(1) to 601.6(8) Reserved. 601.6(9) For refund claims received by the department after June 11, 1984. If the amount of tax is reduced as a result of a net operating loss or net capital loss, interest shall accrue on the refund resulting from the loss carryback beginning on th…

quarterly distribution shall be made up of the tax shown due on the franchise tax returns received during that quarter, net of all refunds of franchise tax established during that quarter. In determining the portion of franchise tax revenues to be distributed to cities and counti…

2000, a financial institution may claim on the franchise tax return the pro rata share of the Iowa eligible housing business tax credit from a partnership, limited liability company, estate or trust which has been approved as an eligible housing business by the economic developme…

on or after January 1, 2001, a business which qualifies as an eligible development business may receive a tax credit of up to 10 percent of the new investment which is directly related to the construction, expansion or rehabilitation of building space to be used for manufacturing…