Relating to the taxation of captive companies, and including effective date provisions

Where it is now

1. ✓
   Done: IntroducedJanuary 23, 2024
2. ✓
   Done: SubcommitteeFebruary 8, 2024
3. ✓
   Done: House committeeFebruary 28, 2024
4. ✓
   Done: Passes the HouseMarch 19, 202494–0
5. –
   Skipped: Senate committeeSkipped
6. ✓
   Done: Passes the SenateApril 9, 202446–0
7. ✓
   Done: To the GovernorApril 19, 2024
8. ✓
   Done: Signed into lawApril 19, 2024

Became HF 2636 → Its progress continues under the new number. Go to HF 2636 What’s a funnel?

What’s in it

This bill relates to the calculation of the amount of reinsurance tax (tax) due from a captive company. The bill changes the amount of tax due from a captive company on the first $20 million of assumed reinsurance premiums from two-tenths of percent to two hundred thousandths of percent; the amount of tax due on the $20 million of assumed reinsurance premiums written after the first $20 million of assumed reinsurance premiums are written from one-eighth of percent to one hundred twenty-five thousandths of percent; and the amount of tax due on each dollar of assumed reinsurance premiums written after the first $40 million of assumed reinsurance premiums from percent on each dollar to forty-five thousandths of percent.

From the explanation printed with the bill as introduced, written by the Legislative Services Agency. Amendments adopted later aren’t reflected. Full bill text · What changed before it passed

House subcommittee

Named February 20, 2024. On February 22, 2024 it recommended passage. Vote Total: 3-0.

• Rep. Shannon Lundgren REmail
• Rep. Kenan Judge DEmail
• Rep. Derek Wulf REmail

Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part

Fiscal note

Can’t be estimated Compare with other bills

0 million annually. 1% reduction. 6% reduction. There are not currently any reinsurance premium taxes collected on captive insurance companies; therefore, the fiscal impact to the State cannot be determined.

• Final Fiscal Note — Captive Insurance Companies, Reinsurance Tax · May 8, 2024
• Captive Insurance Companies, Reinsurance Tax · March 4, 2024
• Captive Insurance Companies, Reinsurance Tax · February 29, 2024
• Captive Insurance Companies, Reinsurance Tax · February 28, 2024

Nonpartisan cost estimates from the Legislative Services Agency’s Fiscal Services Division. The newest is first. Reading a fiscal note

Iowa Code it changes

Amends§432.1A

Read from the bill as introduced. Each links to every bill touching that chapter of the Iowa Code. How the Code works

Family tree

Where this legislation came from and where it went: earlier tries, the versions it moved through this Assembly, and later bills built on it.

Earlier and later bills are matched by wording or an identical title; check the text to be sure it’s the same idea.