§ 425.23 — Schedule for claims for credit or reimbursement

Iowa § 425.23

• Jurisdiction: Iowa
• Title X: FINANCIAL RESOURCES
• Ch. 425: HOMESTEAD TAX CREDITS, EXEMPTIONS, AND REIMBURSEMENT

Text

The amount of any claim for credit or reimbursement filed under this subchapter shall be
determined as provided in this section.
1. a. The tentative credit or reimbursement for a claimant described in section 425.17,

subsection 2, paragraph “a”, subparagraph (1), shall be determined in accordance with the
following schedule:
Percent of property taxes
due or rent constituting
property taxes paid
If the household allowed as a credit or
income is: reimbursement:
$ 0 — 8,499.99 ................................ 100%
8,500 — 9,499.99 ................................ 85
9,500 — 10,499.99 ................................ 70
10,500 — 12,499.99 ................................ 50
12,500 — 14,499.99 ................................ 35
14,500 — 16,499.99 ................................ 25
b. If moneys have been appropriated to the fund created in section 425.40, the tentative
credit or reimbursement for a claimant described in section 425.17, subsection 2, paragraph
“a”, subparagraph (2), shall be determined as follows:
(1) If the amount appropriated under section 425.40 plus any supplemental appropriation
made for a fiscal year for purposes of this lettered paragraph is at least twenty-seven million
dollars, the tentative credit or reimbursement shall be determined in accordance with the
following schedule:
Percent of property taxes
due or rent constituting
property taxes paid
If the household allowed as a credit or
income is: reimbursement:
$ 0 — 8,499.99 ................................ 100%
8,500 — 9,499.99 ................................ 85
9,500 — 10,499.99 ................................ 70
10,500 — 12,499.99 ................................ 50
12,500 — 14,499.99 ................................ 35
14,500 — 16,499.99 ................................ 25
(2) If the amount appropriated under section 425.40 plus any supplemental appropriation
made for a fiscal year for purposes of this lettered paragraph is less than twenty-seven million
dollars the tentative credit or reimbursement shall be determined in accordance with the
following schedule:
Percent of property taxes
due or rent constituting
property taxes paid
If the household allowed as a credit or
income is: reimbursement:
$ 0 — 8,499.99 ................................ 50%
8,500 — 9,499.99 ................................ 42
9,500 — 10,499.99 ................................ 35
10,500 — 12,499.99 ................................ 25
12,500 — 14,499.99 ................................ 17
14,500 — 16,499.99 ................................ 12
c. The tentative credit for a claimant described in section 425.17, subsection 2, paragraph
“a”, subparagraph (3), shall be the greater of the following:
(1) The amount of the credit under the schedule specified in paragraph “a” of this
subsection as if the claimant was a claimant as defined in section 425.17, subsection 2,
paragraph “a”, subparagraph (1), filing for a credit under paragraph “a” of this subsection.
(2) The difference between the actual amount of property taxes due on the homestead
during the fiscal year next following the base year minus the actual amount of property taxes

due on the homestead during the first fiscal year for which the claimant filed a claim for
a credit calculated under this paragraph “c” and for which the property taxes due on the
homestead were calculated on an assessed valuation that was not a partial assessment and
if the claimant has filed for the credit calculated under this paragraph “c” for each of the
subsequent fiscal years after the first credit claimed.
2. The actual credit for property taxes due shall be determined by subtracting from the
tentative credit the amount of the homestead credit under section 425.1 which is allowed
as a credit against property taxes due in the fiscal year next following the base year by the
claimant or any person of the claimant’s household. If the subtraction produces a negative
amount, there shall be no credit but no refund shall be required. The actual reimbursement
for rent constituting property taxes paid shall be equal to the tentative reimbursement.
3. a. A person who is eligible to file a claim for credit for property taxes due and who has
a household income of eight thousand five hundred dollars or less and who has an unpaid
special assessment levied against the homestead may file a claim for a special assessment
credit with the county treasurer. The department of revenue shall provide to the respective
treasurers the forms necessary for the administration of this subsection. The claim shall
be filed not later than September 30 of each year. Upon the filing of the claim, interest for
late payment shall not accrue against the amount of the unpaid special assessment due and
payable. The claim filed by the claimant constitutes a claim for credit of an amount equal
to the actual amount due upon the unpaid special assessment, plus interest, payable during
the fiscal year for which the claim is filed against the homestead of the claimant. However,
where the claimant is an individual described in section 425.17, subsection 2, paragraph
“a”, subparagraph (2), and the tentative credit is determined according to the schedule in
subsection 1, paragraph “b”, subparagraph (2), of this section, the claim filed constitutes a
claim for credit of an amount equal to one-half of the actual amount due and payable during
the fiscal year. The treasurer shall certify to the director of revenue not later than October 15
ofeachyearthetotalamountofdollarsdueforclaimsallowed. Theamountofreimbursement
due each county shall be certified by the director of revenue and paid by the director of the
department of administrative services by November 15 of each year, drawn upon warrants
payable to the respective treasurer. There is appropriated annually from the general fund of
the state to the department of revenue an amount sufficient to carry out the provisions of this
subsection. The treasurer shall credit any moneys received from the department of revenue
against the amount of the unpaid special assessment due and payable on the homestead of
the claimant.
b. For purposes of this subsection, in computing household income, a person with a total
disability shall deduct all medical and necessary care expenses paid during the twelve-month
income tax accounting periods used in computing household income which are attributable
to the person’s total disability. “Medical and necessary care expenses” are those used in
computing the federal income tax deduction under section 213 of the Internal Revenue Code
as defined in section 422.3.
4. a. For the base year beginning in the 1999 calendar year and for each subsequent base
year, the dollar amounts set forth in subsection 1, paragraphs “a” and “b”, and subsection
3 shall be multiplied by the cumulative adjustment factor for that base year. “Cumulative
adjustment factor” means the product of the annual adjustment factor for the 1998 base year
and all annual adjustment factors for subsequent base years. The cumulative adjustment
factor applies to the base year beginning in the calendar year for which the latest annual
adjustment factor has been determined.
b. The annual adjustment factor for the 1998 base year is one hundred percent. For each
subsequent base year, the annual adjustment factor equals the annual inflation factor for the
calendar year, in which the base year begins, as computed in section 422.4 for purposes of
the individual income tax.
c. The cumulative adjustment factor shall be determined annually by the department of
revenue.

Legislative History

[C71, 73, §425.1(5); C75, 77, 79, 81, §425.23]