2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 518A - STATE MUTUAL INSURANCE ASSOCIATIONS
518A.35 - ANNUAL TAX.

        518A.35  ANNUAL TAX.
         1.  A state mutual insurance association doing business under this
      chapter shall on or before the first day of March, each year, pay to
      the director of revenue, or a depository designated by the director,
      a sum equivalent to the applicable percent of the gross receipts from
      premiums and fees for business done within the state, including all
      insurance upon property situated in the state without including or
      deducting any amounts received or paid for reinsurance.  However, a
      company reinsuring windstorm or hail risks written by county mutual
      insurance associations is required to pay the applicable percent tax
      on the gross amount of reinsurance premiums written upon such risks,
      but after deducting the amount returned upon canceled policies and
      rejected applications covering property situated within the state,
      and dividends returned to policyholders on property situated within
      the state.  For purposes of this section, "applicable percent"
      means the same as specified in section 432.1, subsection 4.
         2.  Except as provided in subsection 3, the premium tax shall be
      paid on or before March 1 of the year following the calendar year for
      which the tax is due.  The commissioner of insurance may suspend the
      certificate of authority of a state mutual insurance association that
      fails to pay its premium tax on or before the due date.
         3. a.  Each state mutual insurance association transacting
      business in this state whose Iowa premium tax liability for the
      preceding calendar year was one thousand dollars or more shall remit
      on or before June 1, on a prepayment basis, an amount equal to
      one-half of the premium tax liability for the preceding calendar
      year.
         b.  In addition to the prepayment amount in paragraph "a",
      each association shall remit on or before August 15, on a prepayment
      basis, an additional amount equal to the following percent of the
      premium tax liability for the preceding calendar year as follows:
         (1)  For prepayment in the 2003 and 2004 calendar years, eleven
      percent.
         (2)  For prepayment in the 2005 calendar year, twenty-six percent.

         (3)  For prepayment in the 2006 and subsequent calendar years,
      fifty percent.
         c.  The sums prepaid by a state mutual insurance association
      under this subsection shall be allowed as credits against its premium
      tax liability for the calendar year during which the payments are
      made.  If a prepayment made under this subsection exceeds the annual
      premium tax liability, the excess shall be allowed as a credit
      against subsequent prepayment or tax liabilities.  The commissioner
      of insurance may suspend the certificate of authority of an
      association that fails to make a prepayment on or before the due
      date.  

         Section History: Early Form

         [C24, 27, 31, 35, 39, § 9060; C46, 50, 54, 58, 62, § 518.35;
      C66, 71, 73, 75, 77, 79, 81, § 518A.35] 

         Section History: Recent Form

         2000 Acts, ch 1023, §48; 2001 Acts, ch 24, §57; 2002 Acts, ch
      1050, §46; 2003 Acts, ch 145, §286; 2003 Acts, ch 179, §137, 159;
      2004 Acts, ch 1175, §340, 348; 2006 Acts, ch 1117, §93