Bills › 91st General Assembly
Relating to the excise tax on certain ethanol blended gasoline purchased exclusively for use in an implement of husbandry used in agricultural production
Sponsored by the House Transportation (companion To Sf 2188 By Committee on Transportation) Committee
Topics:AgricultureTaxes
Same legislation: SSB 3025, HSB 561, SF 2188, SF 2493, HF 2798
Where it is now
- Done: IntroducedJanuary 14, 2026
- Done: SubcommitteeJanuary 14, 2026
- Done: House committeeFebruary 4, 2026
- Done: Passes the HouseMay 2, 202685–1
- Skipped: Senate committeeSkipped
- Done: Passes the SenateApril 22, 202644–0
- Done: To the GovernorMay 11, 2026
- Done: Signed into lawJune 1, 2026
Became HF 2798 → Its progress continues under the new number. Go to HF 2798 What’s a funnel?
What’s in it
Under current law, the excise tax on each gallon of ethanol blended gasoline classified as E-15 or higher is based on the distribution percentage of those fuels compared to the distribution of all nonaviation gasoline motor fuel, and ranges from cents to cents.17, including in implements used in agricultural production, a person who pays the excise tax may claim a refund from the Iowa department of revenue (IDR). This bill exempts ethanol blended gasoline formulated with more than percent by volume of ethanol from imposition and collection of the excise tax when purchased at a terminal or refinery rack exclusively for use in an implement of husbandry used in agricultural production.
Read the full explanation
The bill requires a person who purchases fuel on which an excise tax is not collected in accordance with the bill to substantiate the purchase with an exemption certificate provided by IDR. The exemption certificate must be complete and correct according to the requirements of the director of revenue, signed by the purchaser, and retained by the supplier. A supplier must retain exemption certificates for at least three years. The bill requires IDR to disallow all sales of fuel described in the bill unless proof is established by an exemption certificate. If a purchaser uses or disposes of fuel that was purchased using an exemption certificate in a nonexempt manner, the purchaser is solely liable for the excise tax and is required to remit the tax directly to IDR. Under current law, IDR requires similar exemption certificates for tax-exempt sales of compressed natural gas, liquefied natural gas, liquefied petroleum gas, hydrogen, and electric fuel.
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 23, 2026. On March 4, 2026 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
Iowa Code it changes
Creates§452A.16
Read from the bill as introduced. Each links to every bill touching that chapter of the Iowa Code. How the Code works
Lobbying
14 for · 0 against · 13 undecided · Who →
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.
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