In order to receive a refund, the claimant must hold a refund
permit.
(1) Persons requesting a refund
for fuel used for any exempt purpose will do so by providing all or a portion
of the following:
(a) refund permit number,
(b) type of fuel,
(c) total number of gallons/tons of fuel used
to calculate the refund amount,
(d)
the beginning and ending dates of the tax period,
(e) net cost of fuel,
(f) Iowa sales tax due (net cost of fuel
times sales tax rate),
(g) other
items depending on the type of permit and claim type,
(h) the total amount of refund claimed, and
(i) additional information as required.
Persons requesting a refund for casualty loss, transport
diversions, blending errors of motor fuel and ethanol, and blending errors of
special fuel must file in writing on the forms provided by the department and
must attach supporting documents explaining why a refund is
due.
(2) Refunds
are made and the amount of the refund is paid to the person who actually paid
the tax with the following exception: Persons requesting a refund for idle
time, power takeoff, reefer units, pumping credits, or transport diversions may
designate another person as an agent to file the claim and receive the refund.
The person acting as an agent for others must provide the department with the
following information including, but not limited to, the name, address, and
federal identification number or social security number of the person on whose
behalf they are requesting the refund. Once a person is designated as an agent,
this designation remains in force until the department is notified in writing
the agency agreement no longer exists. A governmental agency may designate
another governmental agency as an agent for filing and receiving any tax refund
authorized in Iowa Code section
452A.17.
(3) Deposit of refund. If the person so
designates on the application, the department will direct deposit the refund in
the person's designated bank account. If this option is selected on the
application, additional forms will be provided to secure the needed information
for direct deposit. In lieu of direct deposit, the permit holder will receive a
state warrant.
(4) A claim for
refund will not be allowed unless the claimant has accumulated $60 in credits
for one calendar year. A claim for refund may be filed any time the $60 minimum
has been met within the calendar year. If the $60 minimum has not been met in
the calendar year, the credit must be claimed on the claimant's income tax
return unless the claimant is not required to file an income tax return in
which case a refund will be allowed. An income tax credit may not be claimed
for any year in which a claim for refund was filed. Once the $60 minimum has
been met, the claim for refund must be filed within three years.
(5) A refund will not be paid with respect to
any motor fuel taken out of this state in supply tanks of watercraft, aircraft,
or motor vehicles or any undyed special fuel taken out of this state in
aircraft or motor vehicles.
This rule is intended to implement Iowa Code sections
452A.17,
452A.19,
452A.21, and
452A.72 as amended by 2002 Iowa
Acts, Senate File 2305.
Notes
Iowa Code r.
701-260.9
ARC 5842C, IAB
8/11/21, effective 9/15/21; ARC
6508C, IAB 9/7/22, effective 10/12/22
Adopted by
IAB
March 19, 2025/Volume XLVII, Number 19, effective
4/23/2025
