Iowa HF1033 designates rural water districts as exempt entities for sales and use tax purposes.

Iowa HF1033 amends the state's tax code to classify rural water districts as designated exempt entities for sales and use tax. This change allows these districts to seek refunds for sales and use taxes on building materials, supplies, equipment, and services related to construction contracts. The bill also removes an existing exemption for building materials sold to rural water districts to avoid overlapping tax exemptions.

Iowa HF1033 designates rural water districts as exempt entities for sales and use tax purposes.

Iowa HF1033 amends the state's tax code to classify rural water districts as designated exempt entities for sales and use tax. This change allows these districts to seek refunds for sales and use taxes on building materials, supplies, equipment, and services related to construction contracts. The bill also removes an existing exemption for building materials sold to rural water districts to avoid overlapping tax exemptions.