Bill Text: IA SF293 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act creating an exemption to the water services excise tax.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-02-26 - Subcommittee recommends amendment and passage. [SF293 Detail]
Download: Iowa-2019-SF293-Introduced.html
Senate
File
293
-
Introduced
SENATE
FILE
293
BY
SWEENEY
A
BILL
FOR
An
Act
creating
an
exemption
to
the
water
services
excise
tax.
1
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
2
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293
Section
1.
Section
423G.4,
Code
2019,
is
amended
to
read
as
1
follows:
2
423G.4
Exemptions.
3
1.
The
sales
price
from
transactions
exempt
from
state
sales
4
tax
under
section
423.3
,
except
section
423.3,
subsection
103
,
5
is
also
exempt
from
the
tax
imposed
by
this
chapter
.
6
2.
a.
For
purposes
of
determining
whether
a
transaction
is
7
exempt,
the
furnishing
of
water
through
a
piped
distribution
8
system
by
a
common
interest
community
to
a
member
of
such
9
community,
who
is
a
consumer
or
user
of
the
water,
shall
not
be
10
construed
as
a
sale
or
furnishing
of
water
for
compensation
and
11
shall
be
exempt
from
the
tax
imposed
by
this
chapter
if
all
of
12
the
following
apply:
13
(1)
The
water
was
obtained
from
a
water
utility.
14
(2)
A
tax
was
imposed
by
this
chapter
on
the
sales
price
15
from
the
sale
or
furnishing
of
water
by
a
water
utility
to
the
16
common
interest
community
based
upon
readings
of
the
master
17
meter.
18
(3)
The
price
charged
for
the
sale
or
furnishing
of
water
by
19
the
common
interest
community
is
not
more
than
the
rate
charged
20
for
consuming
or
using
water
from
the
water
utility.
21
b.
As
used
in
this
subsection:
22
(1)
“Common
interest
community”
means
the
same
as
provided
23
in
section
455I.2.
24
(2)
“Master
meter”
means
a
single
meter
used
in
determining
25
the
amount
of
water
provided
to
a
common
interest
community.
26
(3)
“Piped
distribution
system”
includes
a
submetered
27
distribution
system.
28
(4)
“Water
utility”
means
a
public
utility
as
defined
in
29
section
476.1
that
furnishes
water
by
a
piped
distribution
30
system
to
the
public
for
compensation.
31
EXPLANATION
32
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
33
the
explanation’s
substance
by
the
members
of
the
general
assembly.
34
This
bill
creates
an
exemption
to
the
water
services
excise
35
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tax.
1
The
bill
exempts
from
the
water
services
excise
tax
the
2
sale
or
furnishing
of
water
for
compensation
through
a
piped
3
distribution
system
by
a
common
interest
community
to
a
member
4
of
such
community,
who
is
a
consumer
or
user
of
the
water,
if
5
all
of
the
following
apply:
the
water
was
obtained
from
a
6
water
utility;
a
water
services
excise
tax
was
imposed
on
the
7
sales
price
from
the
sale
or
furnishing
of
water
by
a
water
8
utility
to
the
common
interest
community,
based
upon
readings
9
of
the
master
meter
of
the
common
interest
community;
and
10
the
price
charged
for
the
sale
or
furnishing
of
water
by
the
11
common
interest
community
is
not
more
than
the
rate
charged
for
12
consuming
or
using
water
from
the
water
utility.
13
The
bill
defines
“common
interest
community”,
“master
14
meter”,
“piped
distribution
system”,
and
“water
utility”.
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