Iowa 2023-2024 Regular Session

Iowa House Bill HSB734

Introduced
3/6/24  
Introduced
3/6/24  

Caption

A bill for an act repealing the excise tax on the handling of grain.(See HF 2657.)

Impact

If enacted, HSB734 will directly affect grain-handling operations and could provide cost savings for grain elevators, warehouses, and agricultural producers in Iowa. By removing this tax, the bill may incentivize local grain handling and potentially boost the agricultural economy within the state. However, the repeal could lead to decreased tax revenue for local governments, necessitating adjustments in their budgets or the implementation of alternative taxation mechanisms to make up for potential losses in revenue.

Summary

House Study Bill 734 (HSB734) proposes the repeal of the excise tax on the handling of grain, which is currently set at one-fourth of a mill per bushel on all grain handled in Iowa. The legislation seeks to amend Section 428.35 of the Code 2024, effectively discontinuing the tax that applies to various grains such as wheat, corn, barley, and soybeans. The excise tax revenue is typically distributed among local taxing authorities, which could impact funding for local services depending on how reliant those services are on this tax revenue.

Contention

Notable points of contention surrounding HSB734 could stem from the balance between supporting the agricultural industry and ensuring sufficient funding for local governments. Proponents of the bill might argue that eliminating the tax will stimulate growth within the agricultural sector, while opponents may raise concerns about the consequences for public services funded by local taxes. The discussions may also revolve around the implications for state authority over local tax matters, particularly in the context of broader tax policy.

Companion Bills

IA HF2657

Replaced by A bill for an act repealing the excise tax on the handling of grain.(Formerly HSB 734.)

Previously Filed As

IA HSB588

A bill for an act relating to agriculture, including by providing for the powers and duties of the department of agriculture and land stewardship, including the promotion and regulation of commodities and products; the regulation of the transportation of agricultural commodities; the use of agricultural land; and taxation, including property taxes, excise and sales taxes, and income taxes; making penalties applicable; and including effective date and applicability provisions.(See HF 2340, HF 2748.)

IA HF2340

A bill for an act relating to agriculture, including by providing for the powers and duties of the department of agriculture and land stewardship, including the promotion and regulation of commodities and products; the regulation of the transportation of agricultural commodities; the use of agricultural land; and taxation, including property taxes, excise and sales taxes, and income taxes; making penalties applicable; and including effective date and applicability provisions.(Formerly HSB 588; See HF 2748.)

IA HF2748

A bill for an act relating to agriculture, including by providing for the powers and duties of the department of agriculture and land stewardship, including the promotion and regulation of commodities and products; the regulation of the transportation of agricultural commodities; the use of agricultural land; and taxation, including property taxes, excise and sales taxes, and income taxes; making penalties applicable; and including effective date and applicability provisions. (Formerly HF 2340, HSB 588.)

IA SB1224

RIFLE Act Repealing Illegal Freedom and Liberty Excises Act

IA HB2552

RIFLE Act Repealing Illegal Freedom and Liberty Excises Act

IA HB1665

Repealing the capital gains income tax.

IA HB79

Firearm Safe Handling and Secure Storage Tax Credit Act; enact

IA HF2343

A bill for an act relating to the excise tax on certain ethanol blended gasoline purchased exclusively for use in an implement of husbandry used in agricultural production.(Formerly HSB 561; See HF 2798.)

IA HB1491

Concerning The Excise Tax On Certain Beer And Sake; To Create An Excise Tax Credit For Certain Beer And Sake Produced Using Arkansas Rice; And For Other Purposes.

IA HF2183

A bill for an act crediting excise taxes imposed upon the sale of aircraft to the aviation fund.

Similar Bills

No similar bills found.