House File 497 - Introduced HOUSE FILE 497 BY JACOBY A BILL FOR An Act relating to the administration of tax returns by the 1 department of revenue, and including effective date and 2 retroactive applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2438YH (4) 91 jm/jh
H.F. 497 Section 1. NEW SECTION . 421.72 Rounding to the nearest 1 whole dollar. 2 1. For any return a taxpayer may round to the nearest whole 3 dollar amount when entering an amount on a line on the return, 4 but in doing so the taxpayer must then round each amount 5 entered on a line on the return to the nearest whole dollar. 6 2. If a taxpayer is required to calculate two or more 7 figures together to enter an amount on a line on a return, the 8 taxpayer must include cents for each figure in the calculation 9 but may round that calculated amount to the nearest whole 10 dollar before entering that amount on a line on the return. 11 Sec. 2. EFFECTIVE DATE. This Act, being deemed of immediate 12 importance, takes effect upon enactment. 13 Sec. 3. RETROACTIVE APPLICABILITY. This Act applies 14 retroactively to January 1, 2025, for tax years beginning on 15 or after that date. 16 EXPLANATION 17 The inclusion of this explanation does not constitute agreement with 18 the explanations substance by the members of the general assembly. 19 This bill relates to the administration of tax returns by the 20 department of revenue. 21 The bill specifies that for any return, a taxpayer may round 22 to the nearest whole dollar amount when entering an amount on 23 the return, but in doing so the taxpayer must then round each 24 amount entered on the return to the nearest whole dollar. 25 If a taxpayer is required to calculate two or more figures 26 together to enter an amount on the return, the taxpayer must 27 include cents for each figure when calculating the figures 28 together, but may round the calculated amount to the nearest 29 whole dollar before entering that amount on the return. 30 The bill applies retroactively to January 1, 2025, for tax 31 years beginning on or after that date. 32 -1- LSB 2438YH (4) 91 jm/jh 1/ 1