Iowa Admin. Code r. 223-48.22
The definitions listed in rules 223-1.2 (17A,303) and 223-35.2 (303) shall apply to terms as they are used throughout this chapter. In addition, for purposes of this chapter, unless the context otherwise requires:
"Agreement" means an agreement between an eligible taxpayer and the department concerning a qualified rehabilitation project as provided in Iowa Code section 404A.3(3) and rule 223-48.32 (404A).
"Applicant" means an eligible taxpayer described in rule 223-48.27 (404A).
"Assessed value" means the value of the eligible property on the most current property tax assessment at the time that the relevant application or agreement is submitted or the agreement is signed, as applicable.
"Barn" means an agricultural building or structure, in whatever shape or design, which was originally used for the storage of farm products or feed or for the housing of farm animals, poultry, or farm equipment.
"Certificate" means a historic preservation and cultural and entertainment district tax credit certificate issued pursuant to Iowa Code section 404A.3(5).
"Commencement date " means the date set forth in the agreement, which date shall not be later than the end of the fiscal year in which the agreement is entered into.
"Commercial property" means property classified as commercial, industrial, railroad, utility, or multiresidential for property tax purposes under rules 701-71.1 (405,427A,428,441,499B), 701-76.1 (434), and 701-77.1 (428,433,437,438).
"Completion date " means the date on which property that is the subject of a qualified rehabilitation project is placed in service, as that term is used in Section 47 of the Internal Revenue Code.
"Department" means the department of cultural affairs.
"Director" means the director of the department of cultural affairs.
"Eligible taxpayer" means the fee simple owner of the property that is the subject of a qualified rehabilitation project, or another person who will qualify for the federal rehabilitation credit allowed under Section 47 of the Internal Revenue Code with respect to the property that is the subject of a qualified rehabilitation project.
"Federal rehabilitation credit" or"federal credit" means the tax credit allowed under Section 47 of the Internal Revenue Code.
"Federal standards " means the U.S. Secretary of the Interior's standards for rehabilitation set forth in 36 CFR Section 67.7.
"Government funding" or"funding originating from a government" includes but is not limited to:
1. Any funding the applicant received from a government; or
2. Funding from a third party or a series of third parties where those funds originally came from a government or were derived from a government payment, grant, loan, tax credit or rebate or other government incentive; or
3. Funding from a third party or a series of third parties where those funds are derived from, secured by, or otherwise received in anticipation of a government payment, grant, loan, tax credit or rebate or other government incentive.
"Historically significant" means a property that is at least one of the following:
1. Property listed on the National Register of Historic Places or eligible for such listing.
2. Property designated as contributing to a district listed in the National Register of Historic Places or eligible for such designation.
3. Property or district designated a local landmark by a city or county ordinance.
4. A barn constructed prior to 1937.
"Large project" means a qualified rehabilitation project with estimated final qualified rehabilitation expenditures of more than $750,000.
"Noncommercial property " means property other than "commercial property" as defined in this rule. "Noncommercial property" includes barns constructed prior to 1937.
"Nonprofit organization" means an organization described in Section 501 of the Internal Revenue Code unless the exemption is denied under Section 501, 502, 503, or 504 of the Internal Revenue Code. "Nonprofit organization" does not include a governmental body, as that term is defined in Iowa Code section 362.2.
"Placed in service" means the same as used in Section 47 of the Internal Revenue Code.
"Program " means the historic preservation and cultural and entertainment district tax credit program set forth in this chapter.
"Property" means the real property that is the subject of a "qualified rehabilitation project" or that is the subject of an application to become a qualified rehabilitation project.
"Qualified rehabilitation expenditures" or"QREs" means the same as defined in Section 47 of the Internal Revenue Code. Notwithstanding the foregoing sentence, expenditures incurred by an eligible taxpayer that is a nonprofit organization shall be considered "qualified rehabilitation expenditures" if they are any of the following:
1. Expenditures made for structural components, as that term is defined in Treasury Regulation § 1.48 -l(e)(2).
2. Expenditures made for architectural and engineering fees, site survey fees, legal expenses, insurance premiums, and development fees.
"Qualified rehabilitation expenditures" does not include those expenditures financed by federal, state, or local government grants or forgivable loans unless otherwise allowed under Section 47 of the Internal Revenue Code.
"Qualified rehabilitation expenditures" may include expenditures incurred prior to the date an agreement is entered into under Iowa Code section 404A.3(3).
For more information, consult department of revenue 701-subrule 42.54(2).
"Qualified rehabilitation project" or"project" means a project for the rehabilitation of property in this state that meets all of the following criteria:
1. The property is historically significant as defined in this rule.
2. The property meets the federal standards as defined in this rule.
3. The project is a substantial rehabilitation as defined in this rule.
"Related entities " means any entity owned or controlled in whole or in part by the applicant; any person or entity that owns or controls in whole or in part the applicant; or any entity owned or controlled in whole or in part by any current or prospective officer, principal, director, or owner of the applicant.
"Related persons" means any current or prospective officer, principal, director, member, shareholder, partner, or owner of the applicant.
"Small project" means a qualified rehabilitation project with estimated final qualified rehabilitation expenditures of $750,000 or less.
"Substantial rehabilitation " means qualified rehabilitation costs that meet or exceed the following:
1. In the case of commercial property, costs totaling at least 50 percent of the assessed value of the property, excluding the land, prior to the rehabilitation or at least $50,000, whichever is less; or
2. In the case of noncommercial property, costs totaling at least $25,000 or 25 percent of the assessed value, excluding the land, prior to rehabilitation, whichever is less.
"Tax credit" or"historic tax credit" means the historic preservation and cultural and entertainment district tax credit established in Iowa Code chapter 404A.
This rule is intended to implement Iowa Code chapter 404A as amended by 2014 Iowa Acts, House File 2453.
Iowa Admin. Code r. 223-48.22