Title X, FINANCIAL RESOURCES (Ch. 421 - 454)

Purpose of this subchapter . The purpose of this subchapter is to provide for the administration and collection of sales or use tax on the part of retailers who are not registered under the agreement and for the collection of use tax on the part of consumers who are obligated to …

1. Notwithstanding any provision of this chapter to the contrary, any ruling, agreement, or contract, whether written or oral, express or implied, entered into after July 1, 2013, between a retailer and a state agency that provides that a retailer is not required to collect sales…

1. a. Sales tax, other than that described in paragraph “c” , shall be collected by sellers who are retailers or by their agents. Sellers or their agents shall, as far as practicable, add the sales tax, or the average equivalent thereof, to the sales price or charge, less trade-i…

1. For purposes of this section : a. “Iowa sales” means sales of tangible personal property, services, or specified digital products sourced to this state pursuant to section 423.15 , 423.16 , 423.17 , 423.19 , or 423.20 , or that are otherwise sold in this state or for delivery …

1. For purposes of this section , “Iowa sales” and “marketplace facilitator” all mean the same as defined in section 423.14A . 2. The department may, in its discretion, adopt rules pursuant to chapter 17A establishing and imposing notice and reporting requirements related to Iowa…

All sales of tangible personal property, services, or specified digital products, except those sales enumerated in section 423.16 , shall be sourced according to this section by sellers obligated to collect Iowa sales and use tax. The sourcing rules described in this section appl…

Section 423.15 does not apply to sales or use taxes levied on the following: 1. The retail sale or transfer of watercraft, modular homes, or mobile homes, and the retail sale, excluding lease or rental, of motor vehicles, trailers, semitrailers, or aircraft that do not qualify as…

The lease or rental of motor vehicles, trailers, semitrailers, or aircraft that do not qualify as transportation equipment, as defined in section 423.15, subsection 3 , shall be sourced as follows: 1. For a lease or rental that requires recurring periodic payments, each periodic …

1. Notwithstanding section 423.15 , the following provisions apply to sales of advertising and promotional direct mail: a. A purchaser of advertising and promotional direct mail may provide the seller with one of the following: (1) A direct pay permit. (2) An agreement certificat…

1. There is imposed a tax of six percent upon the sales price of all sales of tangible personal property, sold at retail in the state to consumers or users except as otherwise provided in this subchapter . a. For the purposes of this subchapter , sales of the following services a…

1. As used in this section : a. “Air-to-ground radiotelephone service” means a radio service, as that term is used in 47 C.F.R. §22.99 , in which common carriers are authorized to offer and provide radio telecommunications service for hire to subscribers in aircraft. b. “Call-by-…

1. For the purposes of this section , “bad debt” means an amount properly calculated pursuant to section 166 of the Internal Revenue Code then adjusted to exclude financing charges or interest, sales or use taxes charged on the purchase price, uncollectible amounts on property th…

If any person who causes tangible personal property or specified digital products to be brought into this state or who uses in this state services enumerated in section 423.2 has already paid a tax in another state in respect to the sale or use of the property or the performance …

Agreements between competing sellers, or the adoption of appropriate rules and regulations by organizations or associations of sellers to provide uniform methods for adding sales or use tax or the average equivalent thereof, and which do not involve price-fixing agreements otherw…

A seller shall not advertise or hold out or state to the public or to any purchaser, consumer, or user, directly or indirectly, that the taxes or any parts thereof imposed by subchapter II or III will be assumed or absorbed by the seller or the taxes will not be added to the sale…

The director shall have the power to adopt rules for adding the taxes imposed by subchapters II and III , or the average equivalents thereof, by providing different methods applying uniformly to retailers within the same general classification for the purpose of enabling the reta…

1. a. The use tax imposed upon the use of vehicles subject only to the issuance of a certificate of title shall be paid by the owner of the vehicle to the county treasurer or the state department of transportation from whom the certificate of title is obtained. A certificate of t…

1. Except as provided in subsection 3 , the use tax imposed upon the use of manufactured housing shall be paid by the owner of the manufactured housing to the manufactured home retailer licensed under chapter 103A . The owner of the manufactured housing shall also provide to the …

1. Every seller who is a retailer and who is making taxable sales of tangible personal property or specified digital products in Iowa or who is a retailer maintaining a place of business in this state making taxable sales of tangible personal property or specified digital product…

1. a. All revenues arising under the operation of the provisions of this subchapter II shall be deposited into the general fund of the state. b. Subsequent to the deposit into the general fund of the state, the director shall credit an amount equal to the product of the sales tax…

There is exempted from the provisions of this subchapter and from the computation of the amount of tax imposed by it the following: 1. The sales price from sales of tangible personal property, specified digital products, and services furnished which this state is prohibited from …

1. The director may, upon application, authorize the collection of the use tax by any seller who is a retailer not maintaining a place of business within this state and not registered under the agreement, who, to the satisfaction of the director, furnishes adequate security to en…

1. a. (1) Except as provided in paragraph “b” , each person subject to this section and section 423.36 and in accordance with the provisions of this section and section 423.36 shall, on or before the last day of the month following the close of each calendar month during which su…

1. Liability of purchaser and retailer. a. If a purchaser fails to pay sales tax to the retailer required to collect the tax, then in addition to all of the rights, obligations, and remedies provided, a use tax is payable by the purchaser directly to the department, and sections …

Any person who uses any tangible personal property, specified digital products, or services enumerated in section 423.2 upon which the use tax has not been paid, either to the county treasurer or to a retailer or direct to the department as required by this subchapter , shall be …

A purchaser is relieved of liability for payment of state sales or use tax, for payment of any local option sales tax, for payment of interest, or for payment of any penalty for nonpayment of tax which nonpayment is not fraudulent, willful, or intentional, under the following cir…

The director may, when necessary and advisable in order to secure the collection of the sales or use tax, authorize any person subject to either tax, and any retailer required or authorized to collect those taxes pursuant to the provisions of section 423.14 , to file with the dep…

1. A person shall not engage in or transact business as a retailer making taxable sales of tangible personal property, specified digital products, or furnishing services within this state or as a retailer making taxable sales of tangible personal property, specified digital produ…

1. a. As soon as practicable after a return is filed and within three years after the return is filed, the department may examine the return, assess and determine the tax due if the return is found to be incorrect, and give notice to the person liable for the tax of the assessmen…

1. A notice authorized or required under this subchapter may be given by mailing the notice to the person for whom it is intended, addressed to that person at the address given in the last return filed by the person pursuant to this subchapter , or if no return has been filed, th…

1. a. For purposes of this subsection , a “designated exempt entity” means any of the following: (1) A private nonprofit educational institution in this state. (2) A nonprofit Iowa affiliate of a nonprofit international organization whose primary activity is the promotion of the …

1. In addition to the sales or use tax or additional sales or use tax, the taxpayer shall pay a penalty as provided in section 421.27 . The taxpayer shall also pay interest on the sales or use tax or additional sales or use tax at the rate in effect under section 421.7 for each m…

Every retailer required or authorized to collect taxes imposed by this chapter and every person using in this state tangible personal property, specified digital products, services, or the product of services shall keep records, receipts, invoices, and other pertinent papers as t…

1. The director shall administer the taxes imposed by subchapters II and III in the same manner and subject to all the provisions of, and all of the powers, duties, authority, and restrictions contained in, section 422.25, subsection 4 , section 422.30 , and sections 422.67 throu…

1. a. Except as provided in subsections 2 and 3 , all revenue arising under the operation of the use tax under subchapter III shall be deposited into the general fund of the state. b. Subsequent to the deposit into the general fund of the state and after the transfer of such reve…

1. If an amount of tax represented by a retailer to a consumer or user as constituting tax due is computed upon a sales price that is not taxable or the amount represented is in excess of the actual taxable amount and the amount represented is actually paid by the consumer or use…

Rate and base changes — liability for failure to collect. 1. The department shall make a reasonable effort to provide sellers with as much advance notice as practicable of a rate change and to notify sellers of legislative changes in the tax base and amendments to sales and use t…

If it shall appear that, as a result of mistake, an amount of tax, penalty, or interest has been paid which was not due under the provisions of this chapter , such amount shall be credited against any tax due, or to become due, on the books of the department from the person who m…

1. By registering under the agreement, the seller agrees to collect and remit sales and use taxes for all its taxable Iowa sales. Iowa’s withdrawal from the agreement or revocation of its membership in the agreement shall not relieve a seller from its responsibility to remit taxe…

1. Except as provided in subsection 7 , all sellers registered under the agreement shall file a single return per month for the state and all taxing jurisdictions within this state. 2. The director shall by rule determine the date on which returns shall be filed. The date shall n…

1. Except as provided in paragraph “b” , an excise tax at the rate of six percent of the purchase price or installed purchase price is imposed on the following: a. The use in this state of tangible personal property as defined in section 423.1 , including aircraft subject to regi…

1. Only one remittance of tax per return is required. 2. All remittances shall be remitted electronically. 3. Electronic payments may be made either by automated clearinghouse credit or automated clearinghouse debit. Any data accompanying a remittance must be formatted using unif…

1. The following provisions shall apply when a purchaser claims an exemption: a. The seller shall obtain identifying information of the purchaser and the reason for claiming a tax exemption at the time of the purchase as determined by the member states acting jointly. b. A purcha…

1. Sellers and certified service providers using databases derived from zip codes or state or vendor provided address-based databases are relieved from liability to this state or its local taxing jurisdictions for having charged and collected the incorrect amount of sales or use …

A certified service provider may claim, on behalf of a model 1 seller, any bad debt deduction as provided in section 423.21 . The certified service provider must credit or refund the full amount of any bad debt deduction or refund received to the seller. 2003 Acts, 1st Ex, ch 2, …

1. Subject to the limitations in subsections 2 through 6 , the following provisions apply: a. Amnesty is provided for uncollected or unpaid sales or use tax to a seller who registers to pay or to collect and remit applicable sales or use tax on sales made to purchasers in this st…