The Link

8/31/2012
IOWA DEPT OF REVENUE & FINANCE

Use Tax - Everyone's Responsibility

The Iowa Department of Revenue is pleased to announce two new methods for reporting and paying Iowa consumer's use tax.

* eFile & Pay - you can now pay consumer's use tax electronically on our Web site, even if you don't have a consumer's use tax permit.

* Consumer's Use Tax Worksheet (coming October 2012) - a fillable online worksheet to report consumer's use tax and mail with a check.

Many taxpayers are not aware Iowa has a 6% consumer's use tax. Consumer's use tax normally applies to items purchased outside Iowa and brought in or delivered into Iowa, such as:

* online purchases

* mail-order catalogs

* television shopping programs

* toll-free 800 numbers

Why Pay Use Tax?

* Use tax protects Iowa businesses from unfair competition by ensuring tax will be paid even if an out-of-state seller is not required to collect it from the purchaser.

* When tax is not collected on taxable purchases and services used in your community, local businesses operate at a competitive disadvantage.

* This affects the economic health of your community and state by hurting main street businesses, the ones who employ our citizens, pay property tax, and support local organizations.

For more details, please see the Department's Web site at www.iowa.gov/tax

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(CONTACT: Kay Arvidson, Kay.Arvidson@iowa.gov)