Iowa 2023-2024 Regular Session

Iowa Senate Bill SSB1138

Introduced
2/7/23  
Introduced
2/7/23  

Caption

A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(See SF 280.)

Impact

The bill is set to apply to property taxes due and payable starting from July 1, 2023. The increased exemption not only acknowledges the sacrifices made by veterans but also aims to ease their financial burdens, aligning state laws to better support veterans and their families. It recognizes the importance of providing adequate benefits to those who have served in the military.

Summary

Senate Study Bill 1138 aims to enhance the military service property tax exemption and credit for veterans in Iowa. This bill specifically increases the property tax exemption amount for eligible veterans to $4,000, representing a significant increase from the previous values of $1,852 and $2,778 depending on a veteran's service period. This amendment is designed to provide greater financial relief to veterans who may be struggling to meet tax obligations.

Contention

While the bill is largely beneficial in its intention, some discussions may arise regarding the sustainability of such tax exemptions on local government resources, as they require financial backing from state appropriations. The state currently funds local governments for these exemptions up to $6.92 per $1,000 of assessed value. There could be concerns about whether the state will ensure adequate funding to fully support the increase in exemptions without placing financial strain on local entities.

Companion Bills

IA HSB22

Related A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(See HF 141.)

IA HF141

Replaced by A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(Formerly HSB 22.)

IA SF280

Replaced by A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(Formerly SSB 1138.)

Previously Filed As

IA SF280

A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(Formerly SSB 1138.)

IA HSB22

A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(See HF 141.)

IA HF141

A bill for an act relating to the military service property tax exemption and credit and including applicability provisions.(Formerly HSB 22.)

IA SF2399

A bill for an act relating to persons who qualify for the military service tax exemption, and including applicability provisions.

IA SF29

A bill for an act relating to property tax exemptions by changing the homestead tax exemption to a credit for owners attaining sixty-five years of age and increasing the military service tax exemption, and including effective date and retroactive applicability provisions.

IA SSB1218

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, modifying certain transit funding, property tax credits and exemptions, and appropriations, requiring certain information related to property taxation to be provided to property owners and taxpayers, modifying provisions relating to fees for driver's licenses and nonoperator's identification cards, modifying provisions relating to certain writing fees, making penalties applicable, and including effective date, retroactive applicability, and applicability provisions.(See SF 569.)

IA SF569

A bill for an act relating to local government property taxes, financial authority, operations, and budgets, modifying certain transit funding, property tax credits and exemptions, and appropriations, requiring certain information related to property taxation to be provided to property owners and taxpayers, modifying provisions relating to fees for driver's licenses and nonoperator's identification cards, modifying provisions relating to certain writing fees, making penalties applicable, and including effective date, retroactive applicability, and applicability provisions. (Formerly SSB 1218.)

IA SSB1125

A bill for an act relating to state and local revenue and finances by modifying sales and use taxes, the charitable conservation contribution tax credit available against individual and corporate income taxes, the water service tax, property taxes, transit funding, and local option taxes, crediting moneys to the natural resources and outdoor recreation trust fund, making appropriations, and including effective date, retroactive applicability, and applicability provisions.(See SF 550.)

IA SF550

A bill for an act relating to state and local revenue and finances by modifying sales and use taxes, the charitable conservation contribution tax credit available against individual and corporate income taxes, the water service tax, property taxes, transit funding, and local option taxes, crediting moneys to the natural resources and outdoor recreation trust fund, modifying allocations of road use tax fund moneys, making appropriations, and including effective date, retroactive applicability, and applicability provisions.(Formerly SSB 1125.)

IA SF352

A bill for an act relating to emergency management services and emergency medical services and including applicability provisions.(Formerly SF 41; See SF 570, SF 2426.)

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HI HB1398

Relating To Property.