Bills › 90th General Assembly
Where it is now
- Done: IntroducedFebruary 6, 2023
- Done: SubcommitteeFebruary 21, 2023
- Done: House committeeMarch 7, 2023
- Done: Passes the HouseMarch 14, 202395–2
- Done: Senate committeeMay 3, 2023
- Done: Passes the SenateMay 4, 202349–0
- Done: To the GovernorMay 9, 2023
- Done: Signed into lawJune 1, 2023
Signed into law What’s a funnel?
What’s in it
AI summary A raceway facility can continue receiving sales tax rebates for a longer period of time. Instead of the program ending in 2025, it would now run until June 30, 2030, as long as certain conditions are met. This change also removes specific rules regarding how project costs are calculated for these rebates.1
Read the official explanation
This bill relates to sales tax rebates for a raceway facility.8 million, whichever is less; or the ownership of the raceway facility changes. The bill changes the date the rebate program must end from June 30, 2025, to June 30, 2030, if any of the other conditions requiring the end of the program have not been met.8 million.
Changed since by amendments S-3228, S-3227; see Amendments.
Senate subcommittee
Named March 20, 2023. On April 24, 2023 it recommended passage. [].
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
AI summary This bill extends the deadline for certain raceway facilities to receive sales tax rebates from June 30, 2025, to June 30, 2030. It is estimated that this extension will decrease revenue to the state's General Fund by approximately $575,000 between fiscal year 2026 and fiscal year 2030.3
Read the fiscal note
Description
House File 660 extends the date that sales tax receipts collected on sales of tangible personal property or services furnished by retailers at an eligible raceway facility can be rebated to an eligible raceway facility from June 30, 2025, to June 30, 2030.
The Bill also makes a technical correction to 2023 Iowa Acts, House File 718 (Property Tax, Assessments, and Bond Elections Act), to add the word “percent” to specific county levy rate calculations.
Background
The sales and use tax rebate for eligible raceway facilities was created in 2014 Iowa Acts, chapter 1102 (Sales and Use Tax Rebate — Raceway Facility Act). Under current law, the sales tax receipts collected on sales of tangible personal property or services furnished by retailers at an eligible raceway facility are rebated to the raceway facility until June 30, 2025, or until the total rebate amount equals $1.8 million, whichever is earliest.
Assumptions
- Information on the actual amount of rebate claims paid since inception of the racetrack rebate is not available.
- It is assumed that through FY 2023, approximately $1.0 million was claimed in sales tax rebates.
- It is estimated that $225,000 in rebates will be claimed between FY 2024 and FY 2025.
- Based on the first three assumptions, rebate claims through FY 2025 will be $575,000 below the $1.8 million limit when rebate availability ends under current law.
- With the program end date extended through FY 2030 as proposed in the Bill, it is assumed that the $1.8 million rebate cap will be met by FY 2030.
Fiscal Impact
It is estimated that HF 660 will decrease revenue to the General Fund by approximately $575,000 between FY 2026 and FY 2030 before the $1.8 million cap is reached.
Sources
- Department of Revenue
- LSA calculations
- Final Fiscal Note — Raceway Facility Sales Tax Rebate, Extension · May 24, 2023
- Raceway Facility Sales Tax Rebate, Extension · March 13, 2023
Iowa Code it changes
Lobbying
1 for · 0 against · 3 undecided · Who →
Family tree
90th General Assembly