Tips from the Iowa Department of Revenue

Tips from the Iowa Department of Revenue

​During review of returns filed with the Department, several problems tend to come up on a regular basis. By avoiding these pitfalls, processing of returns will be smoother and less likely to trigger an inquiry to the taxpayer.


  • Make sure the taxpayer is registered and has an Iowa permit before filing returns
  • Apply online:
  • When returns are filed prior to registering, it is difficult to give the taxpayer proper credit

Monthly Filers:

  • File deposits for the first two months of each quarter
  • File one quarterly return with the information for the entire quarter
  • Show deposits made for the first two months on the quarterly return
  • Pay only the remaining amount due with the quarterly return
  • DO NOT file a quarterly return for each month

Amended Returns:

  • An amended return replaces the original return filed
  • Amended returns must show all information as it should have been filed initially
  • DO NOT file an amended return only reporting the items that have changed
  • Remember if you file a second amended return, it will replace both the original and first amended

Local Option Sales Tax (LOST):

  • The LOST schedule on the quarterly return must show amounts for the entire quarter, not just the third month of the quarter

Hotel/Motel Tax:

  • Amounts for hotel/motel tax must be reported on Schedule A when eFiling sales tax returns
  • Only sleeping room rentals should be reported on Schedule A

The Department encourages taxpayers and tax preparers to stay updated by using these resources:

Content Contributed by Greg Stokke, Iowa Department of Revenue

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