Deadline for submittal of investment tax credit application, 115.4(2)
ARC 3064C
ECONOMIC DEVELOPMENT AUTHORITY[261]
Notice of Intended Action
Twenty-five interested persons, a governmental subdivision, an agency or association of 25 or more persons may demand an oral presentation hereon as provided in Iowa Code section 17A.4(1)"b."
Notice is also given to the public that the Administrative Rules Review Committee may, on its own motion or on written request by any individual or group, review this proposed action under section 17A.8(6) at a regular or special meeting where the public or interested persons may be heard.
Pursuant to the authority of Iowa Code section 15E.43, the Economic Development Authority hereby gives Notice of Intended Action to amend Chapter 115, "Tax Credits for Investments in Qualifying Businesses and Community-Based Seed Capital Funds," Iowa Administrative Code.
The proposed amendment changes the deadline for submission of investment tax credit applications under the Angel Investor Tax Credit Program. Previously, investors who were approved for investment tax credits under the program were required to wait three years after the investment was made before claiming the investment tax credit, pursuant to Iowa Code section 15E.43. These investment tax credit awards may now be claimed beginning in the tax year in which the investment was made. The proposed amendment to the deadline will ensure that there is sufficient time to review applications for eligibility, present applications to the Economic Development Authority Board for approval of an award and mail certificates to investors prior to the income tax filing deadline.
The Economic Development Authority Board approved this amendment at its meeting held on April 21, 2017.
Interested persons may submit comments on the proposed amendment on or before June 13, 2017. Comments may be submitted to Kristin Hanks-Bents, Economic Development Authority, 200 East Grand Avenue, Des Moines, Iowa 50309; telephone (515)725-0440; e-mail kristin.hanks-bents@iowaeda.com.
This amendment does not have any fiscal impact to the state of Iowa.
After analysis and review of this rule making, no impact on jobs has been found.
This amendment is intended to implement Iowa Code section 15E.43.
The following amendment is proposed.
Amend subrule 115.4(2) as follows:
115.4(2) Applications shall be date- and time-stamped by the authority in the order in which such applications are received. Applications for the investment tax credit shall be accepted by the authority until March 31 January 31 of the year following the calendar year in which the taxpayer's equity investment was made. For investments made on or after July 2, 2015, and before January 1, 2016, applications for the investment tax credit shall be accepted by the authority until August 17, 2016.
Example 1: A taxpayer makes an equity investment in a qualifying business on December 31, 2011 2017. The taxpayer has until March 31, 2012 January 31, 2018, to apply to the authority for an investment tax credit.
Example 2: A taxpayer makes an equity investment in a qualifying business on July 1, 2012 2017. The taxpayer has until March 31, 2013 January 31, 2018, to apply to the authority for an investment tax credit.
The authority may accept applications after the deadline under extenuating circumstances.
This notice is now closed for comments. Collection of comments closed on 6/13/2017.
The official published PDF of this document is available from the Iowa General Assembly’s Administrative Rules page.
View the Iowa Administrative Bulletin for 5/24/2017.
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