Streamlined Sales Tax - Information to New Registrants

Information for Streamlined Registrants

Sellers Not Using A Certified System

Thank you for registering to participate as a Streamlined retailer and to collect sales/use tax for the participating Streamlined states. The purpose of the Streamlined Sales Tax Initiative is to provide a standardized way for multi-state retailers to collect and remit sales/use tax to the various Streamlined states. Information on when and how to remit are below.

Please note, if you are not a multi-state retailer and were not intending to report to all the Streamlined states, or if you feel you have registered in error for other reasons, you can return to the Streamlined registration Web site (https://www.sstregister.org/sellers/Login.aspx) and opt out.

If you have specific questions, such as how to register only for Iowa, contact us at the phone number or e-mail address below.

Requirements for Streamlined Registrants to File Returns in Iowa

Model 4 or “Other” Seller

If you registered as a Model 4, or “Other” seller (not using a certified system), you can file:

Later you will be given the option of filing the simplified electronic return (SER)* in XML format.

If Filing Paper Returns

Payment Option: check

Filing Frequency: monthly

Return and Payment Due Dates: Returns and payments are due no later than the 20th of the month immediately following the tax period

If a Streamlined seller has multiple retail locations in Iowa, only one return per month needs to be filed, showing the combined sales from all locations.

Permit Number: Use the Streamlined Permit Number assigned to you from the Streamlined Registration system. That number is 9-digit alpha/numeric, beginning with ‘S’.

Only one return per period is required per seller. This means if a Streamlined seller has multiple retail locations in Iowa, only one return per month needs to be filed, showing the combined sales from all locations.

If Filing Through eFile & Pay

Payment Options: ePay (free direct debit), credit card, or ACH Credit

A form to register to pay ACH Credit is available on our Web site.* Once the SER is made available and you choose to use it, you will also have the option of paying via ACH Debit.*

Filing Frequency: The Department determines how often sales tax returns are due based on the estimated amount of sales tax collection that the retailer entered on the permit application. The filing frequencies are:

Annually: If you remit less than $120 tax a year, you will file one return for the calendar year.

Quarterly: If you remit more than $120 but less than $6,000 tax per year ($30 - $1,500 per quarter), you will file a quarterly return at the end of each calendar quarter.

Monthly: If you remit more than $6,000 but less than $60,000 tax per year ($500 - $5,000 per month), you will file deposits for each of the first two months of the calendar quarter; there is no monthly deposit for the third month of the quarter. For the third month, you will file the quarterly return with the payment for the balance of tax due for that quarter.

Semi-Monthly: If you remit more than $60,000 tax a year (more than $5,000 per month; more than $2,500 semi-monthly), you are required to file deposits twice each month and a quarterly return electronically through eFile & Pay. The first deposit of the month is for the 1st through the 15th and is due by the 25th of the month. The second deposit is for the 16th through the end of the month and is due the 10th of the following month. A deposit is not required for the final semi-monthly period of each quarter. For that last semi-monthly period, a quarterly return is filed including totals for all three months of the quarter and it is due on the last day of the month following the end of the quarter.

Return and Payment Due Dates: Returns and payments are due the last day of the month immediately following the tax period

If a Streamlined seller has multiple retail locations in Iowa, only one return per period needs to be filed, showing the combined sales from all locations.

Permit Number: Use the Iowa-assigned Retailer’s Use Tax Number. This number is assigned after the Iowa Department of Revenue receives your registration from Streamlined registration. Call the phone number below for your permit number.

Business eFile Number (BEN): The BEN is required to access eFile & Pay. This number is assigned after the Iowa Department of Revenue receives your registration from Streamlined registration. Call the phone number below for your BEN number.

Iowa Sales Tax Rate

The state sales tax rate in Iowa is 6%.

Local Option Sales Tax

Most cities and unincorporated areas in Iowa have a 1% local option tax that is in addition to the state sales tax. Local option tax must be reported, broken down by county when using eFile & Pay or the paper Streamlined return. If you choose to use the SER, local option must be reported by FIPS code.*

Iowa Department of Revenue Web Site Address

www.iowa.gov/tax/educate/SLST.html

Iowa SSTP Contact

Larry Paxton
Phone Number: (515) 281-8037
E-mail: larry.paxton@iowa.gov

* The Iowa Streamlined return, ACH Credit registration form, and local option rates and jurisdiction information are available on the IDR Web site: www.iowa.gov/tax/educate/SLSTreturn.html. XML samples of the SER, Payment Information is also available there.

02/04/10