Iowa Tax Credits

As of July 1, 2007

• Earned Income Credit ($8.9 million for 2004, $9.8 million for 2005) – Section (§) 422.12B

• Tuition and Textbook Credit ($14.3 million for 2004, $15.2 million for 2005) –§422.12(2)

• Child and Dependent Care Credit ($8.2 million for 2005) – §422.12C

• Claim of Right Credit – §422.5(10)

• Cow-Calf Credit (capped at $2 million for 2007 ) - §422.120

• Motor Fuel Tax Credit ($5.9 million for 2001, $5.4 million for 2002) – §422.110

• Iowa New Jobs Credit – §§422.11A & 422.33(6)

• Research Activities Credit – §§422.10 and 422.33(5) & 15.335 & 15A.9(8)

• Investment Tax Credit – §§15.333, 15.333A, 15E.193B(6), 15A.9(4), 422.11F, 422.33(12) & 422.60(5)

• Alternative Minimum Tax Credit – §§422.11B, 422.33(7) & 422.60(3)

• Assistive Device Credit – §§422.11E & 422.33(9)

• Historic Preservation and Cultural and Entertainment District Tax Credit – §§422.11D, 422.33(10), 422.60(4) & 404A.2

• Endow Iowa Tax Credit (capped at $2 million for each year 2005-2007, and capped at $2 million plus a percentage of gaming revenues for 2008 and subsequent years) – 422.11H, 422.33(14) & 422.60(7)

• Venture Capital Credit – Investments in Qualifying Business and Community-Based Seed Capital Funds ($824,872 to be claimed on 2007 tax return) – §§15E.43, 422.11F, 422.33(12) & 422.60(5)

• Venture Capital Credit – Investments in Venture Capital Funds ($185,625 to be claimed on 2007 return) – §§15E.51, 422.11G, 422.33(13) & 422.60(6)

• Ethanol Blended Gasoline Tax Credit – §§422.11C & 422.33(11)

• Renewable Energy Tax Credits – §§422.11J, 422.33(16) & 422.60(8)

• Early Childhood Development Tax Credit – §422.12C

• Wind Energy Production Tax Credit - §§422.11J, 422.33(16) & 422.60(8)

• Economic Development Region Revolving Fund Tax Credit – §§422.11K, 422.33(17) & 422.60(9)

• Wage-Benefit Tax Credit – §§422.11L, 422.33(18) & 422.60(10)

• High Quality Job Creation Program – §15.329

• E85 Gasoline Promotion Tax Credit – §§422.11O & 422.33(11B)

• Biodiesel Blended Fuel Tax Credit – §§422.11P & 422.33(11C)

• Ethanol Promotion Tax Credit – §§422.11N & 422.33(11A)

• Agricultural Asset Transfer Tax Credit – §§422.11M & 422.33(22)

• Film Qualified Expenditure Tax Credit – §§422.11T, 422.33(24) & 422.60(13)

• Film Investment Tax Credit – §§422.11U, 422.33(25) & 422.60(14)

For more information about these and other Iowa tax credits, see http://www.state.ia.us/tax/taxlaw/Taxcredits07.pdf