Iowa Administrative Code › Agency 701 - Revenue Department › Title IV - Individual Income Tax › Chapter 304 - Adjustments to Computed Tax and Tax Credits › Rule 701-304.49 - Volunteer Fire Fighter, Volunteer Emergency Medical Services Personnel Member, and Reserve Peace Officer Tax Credit

Current through Register Vol. 47, No. 3, July 24, 2024
Effective for tax years beginning on or after January 1,
				  2014, a tax credit is available for individual income tax for volunteer fire
				  fighters, volunteer emergency medical services (EMS) personnel members, and
				  reserve peace officers.
(1)
Definitions.
The following definitions are applicable to this
				rule:
"Emergency medical services personnel
				  member"
or
"EMS personnel member"
means an emergency
				  medical care provider, as defined in Iowa Code section
				  147A.1, who is certified as a
				  first responder in accordance with Iowa Code chapter 147A. For tax years
				  beginning on or after January 1, 2014, "emergency medical services personnel
				  member" or "EMS personnel member" also includes an individual who is a paid
				  employee of an emergency medical services program and who is also a volunteer
				  emergency medical services personnel member in a city, county, or area governed
				  by an agreement pursuant to Iowa Code chapter 28E.
"Reserve peace officer"
means a reserve
				  peace officer as defined in Iowa Code section
				  80D.1A who has met the minimum
				  state training standards established by the Iowa law enforcement academy in
				  accordance with Iowa Code chapter 80D.
"Volunteer fire fighter"
means a volunteer
				  fire fighter, as defined in Iowa Code section
				  85.61, who has met the minimum
				  training standards established by the fire service training bureau pursuant to
				  Iowa Code chapter 100B. For tax years beginning on or after January 1, 2014,
				  "volunteer fire fighter" means an individual who is an active member of an
				  organized volunteer fire department in Iowa oris performing services as a
				  volunteer fire fighter for a municipality, township, or benefited fire district
				  at the request of the chief or other person in command and who has met the
				  minimum training standards established by the fire service training bureau
				  pursuant to Iowa Code chapter 100B. For tax years beginning on or after January
				  1, 2014, a volunteer fire fighter also includes an individual who is a paid
				  employee of a fire department and who is also a volunteer fire fighter in a
				  city, county, or area governed by an agreement pursuant to Iowa Code chapter
				  28E.
(2)
Calculation of the credit.
a. The credit is equal to $250 for tax years
				beginning on or after January 1, 2021, if the volunteer fire fighter, volunteer
				EMS personnel member, or reserve peace officer was a volunteer for the entire
				year. The credit is equal to $50 for tax year 2013 and $100 for tax years 2014
				through 2020.
b. If the individual
				was not a volunteer fire fighter, volunteer EMS personnel member, or reserve
				peace officer for the entire calendar year, the credit is prorated based on the
				number of months the individual was a volunteer. If the individual was a
				volunteer during any part of a month, the individual will be considered a
				volunteer for the entire month. The amount of credit will be rounded to the
				nearest dollar.
EXAMPLE: An individual became a volunteer fire fighter on
				  April 15, 2021, and remained a volunteer for the rest of calendar year 2021.
				  The individual is considered a volunteer for nine months of 2021. The tax
				  credit for 2021 is equal to $188 ($250 multiplied by 9/12 equals $187.50;
				  rounding to the nearest dollar results in a $188 credit).
c. If an individual holds more than one
				volunteer position as a volunteer fire fighter, a volunteer EMS personnel
				member, or a reserve peace office during the same month, a credit can be
				claimed for only one volunteer position for that month. For example, ifan
				individual was both a volunteer fire fighter and volunteer EMS personnel member
				for all of calendar year 2021, the tax credit will equal $250.