The Law and You

Article excerpt

Although major laws such as the Obama Health Care Plan receive a lot of attention in the news, there are dozens of new laws that take effect each year in the tri-states that could impact some businesses just as much.

They might provide them with tax incentives or money to expand or restrictions they need to be concerned about.

"Every entrepreneur should know what laws, rules and regulations affect their business on a daily basis," said Terry Sullivan, Regional Director, Northeast Iowa SBDC. "That is not an easy task because of the many different government layers from federal, state, county and city regulations and laws on the books, but there are several different sources that they can turn to for help. The Small Business Development Centers across the United States (15 centers in Iowa and approximately 1,000 in the United States) can be contacted for help and business counseling."

He also recommends entrepreneurs check with your trade association and most importantly, establishing relations with local legislatures.

Here are some new laws that are just taking effect that could impact Iowa businesses. If you're a business in Wisconsin or Illinois, you should check with your business accountant or local representative to learn about laws in those states as the legislatures are still working on some.

House File 620

Law: HF 620 relates to the economic development financial assistance duties and powers of the economic development authority by authorizing and creating fees, affecting the aggregate tax credit limit for certain economic development programs and the tax credit for the endow Iowa tax credit, making appropriations, and including effective date and retroactive applicability provisions.

Who it affects: Iowa businesses or those looking to relocate there.

Went into effect: July 1, 2013

What businesses need to do: Check with their financial consultant.

House file 615

Law: HF 615 changes the tax credit percentage from 20 percent of the taxpayer's equity investment in an innovation fund to 25 percent. The bill strikes the three-year wait for redeeming the tax credit. The bill allows the tax credit to be transferrable, but it can only be transferred once. The changes in the bill are effective upon enactment and apply retroactively to tax years beginning on or after Jan. 1, 2013.

Who it affects: Iowa businesses

Went into effect: May 24, 2013

What businesses need to do: Check with their accountant to see if it impacts them. …