Relating to the sales tax exemption for the purchase of central office equipment or transmission equipment used by certain entities primarily in the furnishing of telecommunications services on a commercial basis

Where it is now

1. ✓
   Done: IntroducedFebruary 20, 2025
2. ✓
   Done: SubcommitteeFebruary 20, 2025
3. ✓
   Done: House committeeMarch 13, 2025
4. ✓
   Done: Passes the HouseApril 21, 202587–4
5. ✓
   Done: Senate committeeApril 22, 2025
6. ✓
   Done: Passes the SenateApril 20, 202633–11
7. ✓
   Done: To the GovernorMay 11, 2026
8. ✓
   Done: Signed into lawMay 19, 2026

Became HF 960 → Its progress continues under the new number. Go to HF 960 What’s a funnel?

What’s in it

This bill relates to the sales tax exemption for the purchase of central office equipment or transmission equipment used by certain entities in the furnishing of telecommunications services on a commercial basis. The bill expands the sales tax exemption for the purchase of central office equipment or transmission equipment by striking the term “primarily” and making all such purchases used in the furnishing of telecommunications services exempt from sales tax. Code section 423.3(47A) defines the terms “central office equipment” and “transmission equipment”. By operation of Code section 423.6, an item exempt from the imposition of the sales tax is also exempt from the use tax imposed in Code section 423.5.

From the explanation printed with the bill as introduced, written by the Legislative Services Agency. Changed since by amendment S-5183; see Amendments. Full bill text · What changed before it passed

House subcommittee

Named February 20, 2025. On February 26, 2025 it recommended passage.

• Rep. Joshua Meggers REmail
• Rep. Megan Jones REmail
• Rep. Scheetz

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

House File 960 is estimated to decrease annual revenue to the General Fund, the SAVE Fund, and the LOST by the amounts in Figure 1.

• Final Fiscal Note — Communications Network Equipment Sales Tax Exemption · May 13, 2026
• Communications Network Equipment Sales Tax Exemption · April 20, 2026
• Communications Network Equipment Sales Tax Exemption · April 15, 2026
• Communications Network Equipment Sales Tax Exemption · April 28, 2025
• Communications Network Equipment Sales Tax Exemption · March 24, 2025

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§423.3

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.

Tried before

This idea has been filed in an earlier General Assembly. None became law, though one got through a chamber.

• HF 2635 Relating to the sales tax exemption for the purchase of central office equipment or transm…
  90th General Assembly · Passed House · same title
  Passed a chamber

Similar bills this General Assembly

• HSB 126 Relating to the sales tax exemption for the purchase of central office equipment or transm…
  91st General Assembly · In committee
  Nearly identical

Matched by the wording of each bill’s explanation, or an identical title. Companion bills and renumbered versions of this bill aren’t listed; they’re the same bill.