Iowa SF200 mandates water utilities to accept valid tax exemption certificates and prohibits them from requiring refunds instead of exemptions.

Iowa SF200 addresses the distribution of water exempt from taxation by requiring water utilities to accept and retain valid exemption certificates. It prohibits utilities from unnecessarily requiring individuals with valid certificates to obtain refunds from the Department of Revenue instead of applying the exemption directly. Utilities failing to accept valid exemption certificates face civil penalties, including the amount of tax refunded to the individual plus interest. The bill also mandates the Department of Revenue to adopt rules for administering these provisions.

Iowa SF200 mandates water utilities to accept valid tax exemption certificates and prohibits them from requiring refunds instead of exemptions.

Iowa SF200 addresses the distribution of water exempt from taxation by requiring water utilities to accept and retain valid exemption certificates. It prohibits utilities from unnecessarily requiring individuals with valid certificates to obtain refunds from the Department of Revenue instead of applying the exemption directly. Utilities failing to accept valid exemption certificates face civil penalties, including the amount of tax refunded to the individual plus interest. The bill also mandates the Department of Revenue to adopt rules for administering these provisions.