Form 78-918 - Report Sales By County

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Director: Mark R. Schuling
Hoover State Office Building
Des Moines, Iowa 50319
Iowa Department of Revenue
August 2009
On July 1, 2008, the state sales tax rate increased from 5% to 6%. School Local Option Sales Tax (SILO) no
longer exists as a separate tax. Local Option Sales Tax (LOST) remains in effect where enacted. The total sales
tax rate cannot exceed 7%.
Why am I getting this letter?
How a utility company reports local option sales and sales by county on the quarterly sales tax return depends on
the type of customer and whether or not a franchise fee applies. Some utility companies are reporting incorrectly.
Why does proper reporting make a difference?
This ensures correct distribution of sales tax to local governments and school districts.
What do I need to do?
Determine how your company needs to report utility sales on the Sales Tax Quarterly Return Screen and on the
Local Option Tax and Sales Entry Screen. Use the chart below.
Type of Customer
Tax Rates for
Report Utility
Report Utility
Report Utility Sales
Report Utility Sales
Utility Sales
Sales
Sales
Subject to Local
by County
Effective
on Line 1,
on Line 4,
Option Tax
on the Local Option
July 1, 2008
Gross Sales,
Exemptions,
on the Local Option
Tax and Sales Entry
Quarterly
Quarterly
Tax and Sales Entry
Screen
Return Screen
Return Screen
Screen
Residential –
0% - state sales
located in a
tax
Yes
Yes
No
No
franchise fee
0% - LOST
jurisdiction
Residential –
0% - state sales
All Others
tax
Yes
Yes
Yes
Yes
+ LOST, if
applicable
Non-Residential –
6% - state sales
located in a
tax
Yes
No*
No
No
franchise fee
0% - LOST
jurisdiction
Non-Residential –
6% - state sales
All Others
tax
Yes
No*
Yes
Yes
+ LOST, if
applicable
*Unless another sales tax exemption applies.
When reporting Sales by County, be aware that the amount may exceed the taxable sales amount reported on
line 5 of the quarterly return.
Questions About eFiling?
Contact eFile Service Unit, 515-281-8453 or 866-503-3453, Mon. – Fri., 8 a.m. to 4:15 p.m. CT.
Thank you for your attention to this important matter.
78-918 (08/31/09)
eFile Service Unit
P. O. Box 10457
Des Moines, Iowa 50306
idrefile@iowa.gov
1-866-50-efile (1-866-503-3453) (toll-free, Iowa only)
515-281-8453

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