from the (new) Director
and welcome to another edition of the Iowa eTax News, published
by the Iowa Department of Revenue and Finance. As the new
director of the department, it is my pleasure to join the
terrific IDRF team that serves taxpayers in our state.
In fact, serving taxpayers is
our number one priority at the department. One way we do that is
by emphasizing communications and responding to your feedback. In
that regard, please let us know your thoughts on this newsletter.
What stories should we include
in future editions? What issues are of interest to you? Is the format
readable and understandable? Do you have suggestions as to how we
can improve this publication or other any service that we provide?
Your feedback is important to us and will help us make this publication
more useful to you. Please send your comments and suggestions to
us by e-mail.
Thank you for your help!
about Iowa taxes are once again beginning statewide. You will
find an updated class
list on our Web site.
We make "house calls!" If your payroll or tax department
needs training in Iowa taxes, contact the tax specialist nearest
Falls: Wayne Brown (Editor's Note: Wayne retired in December
Rapids: Don Burr
Moines: Opal Current
City: Mary Forristal (Editor's
Note: Mary joined the department after this newsletter was
sales tax filers
must file your consolidated schedule each quarter. Your return and
remittance cannot be credited correctly unless the schedule is included.
you received your sales tax returns?
should have already received your quarterly or monthly returns.
If not, contact us by e-mail or by phone at 1-800-367-3388
or 515/281-3114 to be sure we have the correct mailing address.
do you need a new permit?
you change your business entity from a sole proprietor to a corporation,
for example, you must apply for a new permit and permit number.
permit must be obtained for each business location. A business owner
who changes location in the same county does not need a new permit.
If, however, the location is in a different county, the owner must
apply for a new permit.
new permit is not required when a mailing address changes; the permit
holder should, however, notify the department.
option sales taxes
online lists will be updated by April 11 with new jurisdictions
that start July 1. Lists change twice each year; new jurisdictions
are allowed January 1 and July 1. Our department must be notified
90 days in advance, and we make every effort to update our
correct due date for the fourth quarter is January 31, 2004.
for computing estimated tax
may have received an instruction sheet with an incorrect percentage
for computing estimated tax. The percent in question is correctly
stated in bold below.
Compute estimated tax by using one of the following methods:
5% of the anticipated Iowa gross income, or
100% of the prior year's Iowa tax liability (from IA 1040, line 55),
less applicable credits, 110% if prior year's federal adjusted
gross income plus any bonus depreciation adjustment from line 14 of
the IA 1040 exceeded $150,000, or
up direct debit
You may pay your 2003 income estimated payments electronically from
our Web site. Go to https://eservices.idrf.state.ia.us/incpay/tp/index.jsp
and set up the dates and amounts you want withdrawn from
your bank account. (Editor's Note: This system was disabled
in January 2006 and replaced with eFile & Pay.)
forms are in a new format
withholding reporting forms for monthly and quarterly filing are no
longer sent in the familiar coupon payment booklet. For 2003 the forms
were printed on 8 x 10 sheets of paper. Each employer should have already
received a packet. If not, then call 1-800-367-3388 to order another
set. The returns process much faster if the preprinted forms are used.
who are out of business
who go out of business are required by Federal law to issue W-2s and/or
1099s to their former employees. Please call the Internal Revenue Service
(IRS) at 1-800-829-3676 if you need blank W-2s and other forms. W-2s
should be given to the former employees, and 1099s to former contract
To file withholding and sales taxes electronically, go to our e-services
Receive all Iowa
separate e-mail list is used to send withholding updates as they
occur. To sign up for this eList, choose the eLists graphic
and choose Withholding Tax.
We continue to make forms on our Web site
fillable in Adobe Acrobat; in addition, some perform calculations.
These forms have limitations, however:
- You cannot save a filled-in form to your
own computer unless you have the full version of the Acrobat program
(about $250) or have purchased Acrobat Approval software (about $39)
- You must be using Acrobat Reader 4.5 or
- Your browser should be the latest version
Do you need Iowa
income tax information?
Sign up for our e-mail service to tax professionals.
You do not have to be a tax professional to subscribe. Sign
up and choose Individual Income Tax Professionals.
receives excellence awards
On March 6, the Governor's Recognition
of Performance Excellence Celebration was held at the Des Moines Downtown
Marriott. The event featured national quality expert Sister Mary Jean
Ryan, the CEO of SSM Health Care in St. Louis, and comments from Governor
Thomas J. Vilsack. An additional feature of the evening was the presentation
of Excellence Awards to state agencies and private sector organizations
who met stringent qualifications.
The Iowa Department of Revenue
and Finance received three awards for excellence in Financial
Management, in Internal Resource Management, and for general agency