This text of Iowa § 423A.5A (Collection and remittance of hotel and motel tax) is published on Counsel Stack Legal Research, covering Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
1.For purposes of this section:
a.“Discount room charge” means the amount a lodging provider charges a lodging
facilitator for lodging, excluding any applicable tax.
b.“Travel package” means lodging bundled with one or more separate components such
as air transportation, car rental, or similar items and charged for a single retail price.
2.This section shall govern the collection and remittance of all taxes imposed under this
chapter.
3.Unless otherwise provided in this section, the state-imposed tax under section 423A.3
and any locally imposed tax under section 423A.4 shall be collected by the lodging provider
from the user of that lodging and shall be remitted to the department. The lodging provider
shall add the state-imposed tax to the sales price of the lodging and the tax, when
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1. For purposes of this section:
a. “Discount room charge” means the amount a lodging provider charges a lodging
facilitator for lodging, excluding any applicable tax.
b. “Travel package” means lodging bundled with one or more separate components such
as air transportation, car rental, or similar items and charged for a single retail price.
2. This section shall govern the collection and remittance of all taxes imposed under this
chapter.
3. Unless otherwise provided in this section, the state-imposed tax under section 423A.3
and any locally imposed tax under section 423A.4 shall be collected by the lodging provider
from the user of that lodging and shall be remitted to the department. The lodging provider
shall add the state-imposed tax to the sales price of the lodging and the tax, when collected,
shall be stated as a distinct item, separate and apart from the sales price of the lodging and
from the locally imposed tax, if any. The lodging provider shall add the locally imposed tax, if
any, to the sales price of the lodging and the tax, when collected, shall be stated as a distinct
item, separate and apart from the sales price of the lodging and from the state-imposed tax.
4. Ifatransactionfortherentaloflodginginvolvesalodgingfacilitator, allofthefollowing
shall occur in the order prescribed:
a. The lodging facilitator shall collect the taxes imposed under this chapter on any sales
price that the user pays to the lodging facilitator in the same manner as a lodging provider
under subsection 3.
b. (1) Unlessotherwiserequiredbyruleororderofthedepartment, thelodgingfacilitator
§423A.5A, HOTEL AND MOTEL TAX 4
shall remit to the lodging provider that portion of the taxes collected on the sales price that
represents the discount room charge.
(2) No assessment shall be made against a lodging facilitator for tax due on a discount
room charge if the lodging facilitator collected the tax and remitted it to a lodging provider
that has a valid tax permit required under this chapter. This subparagraph shall not apply
if the lodging facilitator and lodging provider are affiliates, or if the department requires the
lodging facilitator to remit taxes collected on that portion of the sales price that represents
the discount room charge directly to the department.
c. The lodging facilitator shall remit any remaining tax it collected to the department.
d. (1) Thelodgingprovidershallcollectandremittothedepartmentanytaxesthelodging
facilitator remitted to the lodging provider, and shall collect and remit to the department any
taxes due on any amount of sales price the user paid to the lodging provider.
(2) No assessment shall be made against a lodging provider for any tax due on a discount
room charge that was not remitted to the lodging provider by a lodging facilitator. This
subparagraph shall not apply if the lodging provider and lodging facilitator are affiliates.
e. Notwithstanding any other provision of this section to the contrary, if a lodging
facilitator and its affiliates facilitate total rentals under this chapter and chapter 423C that
are equal to or less than an aggregate amount of sales price and rental price of ten thousand
dollars for an immediately preceding calendar year or a current calendar year, or in ten
or fewer separate transactions for an immediately preceding calendar year or a current
calendar year, the lodging facilitator shall not be required to collect tax on the amount of
sales price that represents the lodging facilitator’s facilitation fee.
5. If a transaction for the rental of lodging involves a lodging platform, the lodging
platform shall collect and remit the taxes imposed under this chapter in the same manner as
a lodging provider under subsection 3.
6. If a transaction for the rental of lodging is part of a travel package, the portion of the
total price that represents the sales price for the rental of lodging may be determined by the
person required under this section to collect the taxes from the person’s books and records
that are kept in the regular course of business including but not limited to books and records
kept for non-tax purposes.