Iowa Administrative Code
Agency 261 - Economic Development Authority
Part IV - Business Development Division
Chapter 71 - Targeted Jobs Withholding Tax Credit Program
Rule 261-71.5 - Project Approval
Universal Citation: IA Admin Code 261-71.5
Current through Register Vol. 47, No. 6, September 18, 2024
(1) Request for board approval of withholding agreement.
a.
Request for approval
form. Prior to entering into a withholding agreement with an employer
and the authority, a pilot project city must receive approval from the board,
on behalf of the authority. The authority shall develop a standardized form to
be used by pilot project cities to request board approval of a proposed
withholding agreement. To request board approval of a proposed withholding
agreement, a pilot project city shall submit the standardized form to the
authority with the following information:
(1)
A general description of the project, including how the pilot project city will
utilize withholding funds generated by the project.
(2) Base employment of the number of
full-time equivalent positions at a business as established by the authority
and the pilot project city, using the business's payroll records, as of the
date that a business files an application with a pilot project city for
financial assistance under the program.
(3) Information regarding the number of
targeted jobs in the project, the wages of the targeted jobs, and the types of
jobs created by the project.
(4) A
budget for the project, showing the total project cost, the amount of local
matching funds committed to the project, and the amount of withholding funds
the pilot project city will receive from the project.
(5) A letter or resolution of support from
the local government showing support for the project.
b.
Timing of submittal.
Requests for board approval of a proposed withholding agreement may be
submitted at any time. The authority will review requests for approval of a
proposed withholding agreement in as timely a manner as possible.
c.
Board action on requests for
approval. The board, on behalf of the authority, may approve or deny a
withholding agreement according to the provisions of this chapter. Each
withholding agreement and the total amount of the withholding credits allowed
under the withholding agreement shall be approved by the board after taking
into account the incentives or assistance received by or to be received by the
employer under other economic development programs. The board shall only deny a
withholding agreement if the agreement fails to meet the requirements as stated
in subrule 71.4(2) and paragraph 71.6(1)"b " or the local
match requirement as stated in subrule 71.4(7) or if an employer is not in good
standing as to prior or existing agreements with the authority. The board shall
have the authority to negotiate a withholding agreement and may suggest changes
to any of the terms of the withholding agreement, including the total amount of
withholding credits. A pilot project city and employer will be notified in
writing of the board's decision regarding the proposed withholding
agreement.
(2) Certification to the department of revenue.
a. The employer shall certify to the
department of revenue that the targeted jobs withholding tax credit is in
accordance with the withholding agreement and shall provide other information
the department of revenue may require.
b. A pilot project city shall certify to the
department of revenue the amount of the targeted jobs withholding tax credit an
employer has remitted to the city and shall provide other information the
department of revenue may require.
c. Notice of any withholding agreement shall
be provided promptly to the department of revenue following its execution
between a pilot project city and an employer.
Disclaimer: These regulations may not be the most recent version. Iowa may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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