Iowa Administrative Code
Agency 481 - Inspections and Appeals Department
Games of Skill, Chance, Bingo and Raffles
Chapter 100 - General Provisions for Social and Charitable Gambling
Rule 481-100.17 - Expenses
Universal Citation: IA Admin Code 481-100.17
Current through Register Vol. 47, No. 6, September 18, 2024
Reasonable expenses shall not exceed 40 percent of the net receipts.
(1) Proof of expense. No expense item shall be allowed without a proper receipt, paid invoice or canceled check and shall not be paid from an outside source. The burden of proof is on the licensee to show that all expenses were incurred exclusively and directly as a result of the gambling activity. An expense will not be considered reasonable if the amount charged significantly exceeds the prevailing rate or average retail cost of the item or service purchased.
(2) Allowed expenses. Expenses allowed within the 40 percent limit are:
a. The license fee;
b. Rent of building or equipment;
c. Taxes (other than state and local sales
tax paid on gross receipts);
d.
Promotion expense;
e. Major
equipment purchases;
f. Overhead
expenses;
g. Worker compensation;
and
h. Other expenses incurred
exclusively and directly as a result of the gambling activity.
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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