2005 Idaho Code - 41-403 — REDUCED TAX BASED ON IDAHO INVESTMENTS

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 4
                                FEES AND TAXES
    41-403.  REDUCED TAX BASED ON IDAHO INVESTMENTS. [EFFECTIVE UNTIL JANUARY
1, 2010] (1) Provided that it shall comply with rules and standards duly
promulgated by the director of insurance for the purposes of assuring the
establishment and maintenance in this state of services and facilities
consistent with the nature and extent of its operations, any insurer, other
than a life insurance company, having at all times throughout the year with
respect to which the tax is payable the required percentage of its assets set
forth in subsection (2) of this section invested in the investments set forth
below, shall, with respect to premiums on which taxes are to be computed under
section 41-402, Idaho Code, compute and pay such tax at the rate set forth in
subsection (3) of this section instead of at any higher rate provided for
under section 41-402, Idaho Code; and provided further, any life insurance
company, in order to qualify for a tax rate set forth in subsection (3) of
this section instead of any higher rate provided for under section 41-402,
Idaho Code, shall maintain throughout the year with respect to which tax is
payable the required percentage of the reserve required under section
41-706(4), Idaho  Code, set forth in subsection (2) of this section invested
in the designated investments set forth below:
    (a)  Bonds or warrants of this state, or of any county, city or
    incorporated town or district within this state authorized by law to be
    issued; or
    (b)  Taxable real estate within this state; or
    (c)  First mortgages upon improved, unencumbered real estate situated
    within this state; or
    (d)  Stocks or bonds of corporations organized under the laws of, or
    maintaining their home office and principal administrative records in this
    state if such stocks or bonds are lawful investments of the insurer under
    chapter 7 (investments) of this code; or
    (e)  Bonds authorized by law to be issued against the revenues derived
    from the operation in this state of domestic water and sewage systems or
    off-street parking facilities; or
    (f)  Time deposits, or other deposits for interest income purposes, in any
    Idaho branch of any bank, or trust company, or savings and loan
    association, or any other legally organized and approved financial
    institution with one (1) or more branches in this state and insured by any
    instrumentality of the United States government.
    (2)  For purposes of subsection (1) of this section, the required
percentage of assets invested shall be:
    (a)  For calendar years 2004 and 2005, twenty-five percent (25%) or more;
    (b)  For calendar year 2006, twenty percent (20%) or more;
    (c)  For calendar year 2007, fifteen percent (15%) or more;
    (d)  For calendar year 2008, ten percent (10%) or more; and
    (e)  For calendar year 2009, five percent (5%) or more.
    (3)  For purposes of this section, the rate of tax achievable through
investments designated in this section shall be:
    (a)  For calendar years 2004 and 2005, one and four-tenths percent (1.4%);
    (b)  For calendar year 2006, one and forty-two hundredths percent (1.42%);
    (c)  For calendar year 2007, one and forty-four hundredths percent
    (1.44%);
    (d)  For calendar year 2008, one and forty-six hundredths percent (1.46%);
    and
    (e)  For calendar year 2009, one and forty-eight hundredths percent
    (1.48%).