General Assembly: 76 (1995 Regular GA) - Chapter 187 - Residential service contracts — exclusion from taxation

Published: 1995-05-24

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H.F. 566


AN ACT relating to the taxation of sales of residential service contracts under the state sales, services, and use taxes.

Be It Enacted by the General Assembly of the State of Iowa:

Section 1. Section 422.43, subsection 6, Code 1995, is amended to read as follows: 6. There is imposed a tax of five percent upon the gross receipts from the sales of

optional service or warranty contracts. except residential service contracts regulated un- der chapter 523C. which provide for the furnishing of labor and materials and require the furnishing of any taxable service enumerated under this section. The gross receipts are subject to tax even if some of the services furnished are not enumerated under this section. For the purpose of this division, the sale of an optional service or warranty contract. other than a residential service contract regulated under chapter 523C. is a sale of tangible personal property. Additional sales, services, or use taxes shall not be levied on services, parts, or labor provided under optional service or warranty contracts which are subject to tax under this section.

Sec. 2. Section 423.1, subsection 10, Code 1995, is amended to read as follows: 10. "Tangible personal property" means tangible goods, wares, merchandise, optional

service or warranty contracts, except residential service contracts regulated under chap- ter 523C, vulcanizing, recapping, or retreading services, engraving, photography, retouch- ing, printing, or binding services, and gas, electricity, and water when furnished or deliv- ered to consumers or users within this state.

Approved May 24, 1995


S.F. 400

AN ACT providing for the reincorporation of nonprofit corporations and providing for retroactive applicability and effective dates.

Be It Enacted by the General Assembly of the State of Iowa:

Section 1. NEW SECTION. 504A.64A REINCORPORATION. Notwithstanding section 504A.64, if the period of duration of incorporation of a domes-

tic corporation organized or existing under chapter 504, as the chapter existed prior to July 1, 1990, or a predecessor chapter has expired, or if a permit held by a foreign corpo- ration under the provisions of chapter 504, as the chapter existed prior to July 1, 1990, is no longer valid, but the corporation has continued to act as a nonprofit corporation as provided in the chapter under which it was organized, the trustees, directors, or members of the corporation may reincorporate under this chapter and thus become subject to its provisions, and all the property and rights of the corporation shall vest in the corporation as reincorporated for the use and benefit of the corporation. The corporation shall rein- corporate in the same manner as though voluntarily electing to adopt the provisions of this chapter in accordance with section 504A.100. This section shall not apply to a corporation which has been dissolved pursuant to section 504A.87.