News

American Indian Reservations

If a dealer delivers a vehicle to a resident American Indian on a reservation and at a later time the resident American Indian registers the vehicle at a county treasurer’s office, no tax is due since the delivery …

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Non-Profit Organizations

Most people are under the mistaken belief that non-profit organizations are exempt¬†from sales and use tax. This is not true. Under certain circumstances, these organizations may not have to charge tax, but they do have to pay tax …

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Farmers

The sale and rental of farm machinery is exempt from tax. However, the exemption does not apply to motor vehicles subject to registration (pickups, for example) or to parts and labor for those vehicles. Source: Iowa Code Section 423.3(8)

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Government Agencies

A governmental unit can purchase services and tangible personal property free of sales or use tax. A public school is a government agency. Some federal corporations can be considered a governmental unit for purposes of receiving a sales …

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Manufacturers

When manufacturers pay a dealer for work (parts and labor) performed under a service contract or for warranty work, there is no sales tax charged to the manufacturer since tax was paid by the customer at the time …

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