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Bill > SSB1152


IA SSB1152

IA SSB1152
A bill for an act relating to state income tax withholdings on winnings from sports wagering, and including effective date provisions.(See SF 605.)


summary

Introduced
02/18/2025
In Committee
02/18/2025
Crossed Over
Passed
Dead

Introduced Session

91st General Assembly

Bill Summary

This bill specifies all winnings from sports wagering are S.F. _____ H.F. _____ considered Iowa earned income and subject to Iowa and federal income tax laws. If sports wagering winnings are subject to federal income tax withholding, the bill requires Iowa state income tax be withheld from the winnings. The bill takes effect on January 1, 2026.

AI Summary

This Study Bill clarifies that all winnings from sports wagering in Iowa will be treated as income earned within the state and will be subject to both Iowa and federal income tax laws, aligning with existing tax regulations for other forms of gambling winnings. Specifically, if federal income tax is required to be withheld from sports wagering winnings, this bill mandates that Iowa state income tax must also be withheld from those same winnings, ensuring consistent tax collection. This change, which applies to winnings from sports wagering authorized under chapter 99F, will take effect on January 1, 2026.

Committee Categories

Budget and Finance

Sponsors (0)

No sponsors listed

Other Sponsors (1)

Ways & Means (Senate)

Last Action

Committee report approving bill, renumbered as SF 605. (on 03/11/2025)

bill text


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