Iowa Exempts Affiliate Vehicle Leases from Sales and Use Tax with New Registration Payment

• Iowa exempts certain leases or rentals between affiliates from sales and use tax
• House File 664 was enacted to provide this exemption
• The exemption applies to vehicle leases or rentals between affiliates
• The exemption only applies if Iowa’s sales or use tax has been paid by the lessor prior to the lease
• The exemption also applies to the state’s fee for new registration if paid by the lessor prior to the lease

Source: weaver.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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