Tax Attorney in Des Moines, IA

Federal IRS representation for Des Moines Iowa individuals and businesses — audits, back taxes, liens, levies, payroll-tax disputes, and U.S. Tax Court litigation at the Neal Smith Federal Building, 210 Walnut Street. We also coordinate Iowa Department of Revenue and Polk County tax matters under IRS Form 2848 federal Power of Attorney and Iowa Form IA 2848 (formerly IA 14) state Power of Attorney where they sit alongside a federal case.

Reviewed by Parham Khorsandi, Esq. — California Bar #266658. Last reviewed: May 25, 2026.

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Serving Downtown Des Moines, East Village, Sherman Hill, Beaverdale, Drake Neighborhood, South of Grand, Ingersoll, Highland Park, West Des Moines, Urbandale, Clive, Johnston, Ankeny, Altoona, Waukee, Norwalk, Pleasant Hill, and the wider Polk and Dallas County metro

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If you owe back taxes in Des Moines Iowa, here is the 2026 picture

Iowa is in the final year of a multi-year personal income tax phase-down enacted under HF 2317 and accelerated by HF 2125. Under Iowa Code § 422.5, the state's prior graduated brackets collapse to a single flat 3.9% rate effective tax year 2026 — one of the most material state-tax-structure changes in the Midwest this decade. Iowa Corporate Income Tax under Iowa Code § 422.33 runs from 5.5% to 9.8% on a graduated schedule, with the top rate phasing down on a parallel track. Des Moines layers Polk County's 1% local-option sales tax and the City of Des Moines 0.5% on top of the 6% state rate under Iowa Code § 423.2, bringing the combined Des Moines sales tax to 7.5% on most retail transactions. Iowa repealed its state Inheritance Tax effective January 1, 2025 under SF 619 — estates of decedents dying on or after that date no longer face the Iowa inheritance tax that historically applied to non-lineal heirs, though estates of earlier decedents still work through the wind-down. There is no state estate tax in Iowa. Add the federal layer and the combined Des Moines federal-state-county exposure on a high-bracket Principal Financial Group, Wellmark Blue Cross Blue Shield, or Nationwide insurance employee is materially lower in 2026 than it was in 2022 — but only if filings keep pace with the changes.

If you have received an IRS CP504, LT11, or Statutory Notice of Deficiency, an Iowa Department of Revenue Notice of Assessment, or a Polk County Treasurer property-tax delinquency notice, the deadline to act is short. We pull your IRS account transcripts, calculate your CSED, file Form 2848 Power of Attorney with the IRS and Iowa Form IA 2848 with the Iowa DOR, and put administrative brakes on collection while the case is built.

Federal tax representation for Des Moines Iowa taxpayers

Victory Tax Lawyers, LLP is a California-Bar-admitted tax-resolution law firm based in Los Angeles. Our federal practice runs nationwide: the Internal Revenue Service accepts our Form 2848 Power of Attorney in every state, and the U.S. Tax Court — a single federal tribunal with jurisdiction over IRS deficiency cases — holds regular trial sessions in Des Moines at the Neal Smith Federal Building, 210 Walnut Street. From our Robertson Boulevard office in Los Angeles, we represent Des Moines Iowa residents and Iowa-domiciled businesses in IRS audits, collection cases, Tax Court petitions, Offers in Compromise under IRC § 7122, Installment Agreements under IRC § 6159, lien discharges under IRC § 6325, levy releases under IRC § 6343, and Trust Fund Recovery Penalty defenses under IRC § 6672. The IRS Taxpayer Assistance Center serving the Des Moines metro sits at 210 Walnut Street in the Neal Smith Federal Building, the same building that houses U.S. Tax Court trial sessions.

For Iowa state-tax matters — the flat 3.9% personal income tax under Iowa Code § 422.5 (effective 2026 under HF 2317 and HF 2125), the 5.5% to 9.8% Corporate Income Tax under Iowa Code § 422.33, the 6% state sales tax under Iowa Code § 423.2, withholding-tax assessments, and contested matters headed to the Iowa State Board of Tax Review — we file Iowa Form IA 2848 Power of Attorney with the Department of Revenue and handle the administrative track directly. The Iowa Department of Revenue headquarters sits at 1305 East Walnut Street in Des Moines — the state capital and the statewide tax-administration headquarters, with the Iowa State Capitol three blocks away at 1007 East Grand Avenue. For formal litigation before the Iowa State Board of Tax Review or judicial review in the Polk County District Court, or further appeal to the Iowa Court of Appeals or the Iowa Supreme Court, we refer to locally admitted Iowa counsel under a co-counsel arrangement. The federal layer is where most Des Moines high-income, business-owner, and dual-residency cases live, and that is where our engagement carries the load.

Des Moines sits at an unusual concentration of insurance, retirement-asset-management, and agricultural-finance employers for a city its size — reflective of its history as the nation's third-largest insurance center after New York and Hartford. Principal Financial Group, a Fortune-500 retirement-services and asset-management firm, is headquartered at 711 High Street in downtown Des Moines — producing W-2, RSU, ISO, and IRC § 1061 carried-interest exposure across its asset-management lines. Wellmark Blue Cross Blue Shield of Iowa, headquartered at 1331 Grand Avenue, drives a steady stream of health-insurance industry W-2 and deferred-compensation cases. Nationwide Mutual Insurance (with Des Moines regional operations from the legacy Allied Insurance acquisition) and State Farm Insurance regional offices round out the insurance-industry footprint. The Meta (Facebook) data center in Altoona, the Microsoft data center cluster in West Des Moines, the Apple data center build, and the IBM Des Moines presence anchor a tech-and-data-center corridor that drove substantial post-2020 relocation from California, Washington, and Texas. The MercyOne Des Moines, UnityPoint Health, Iowa Methodist Medical Center, Broadlawns Medical Center, and Iowa Lutheran Hospital networks employ thousands of physicians on hybrid W-2 and 1099 arrangements. Drake University and Drake Law School in the Drake Neighborhood, Grand View University, and Iowa State University (35 miles north in Ames) drive academic-and-clergy compensation issues. Add the Iowa State Government — legislature, executive branch, and the state agencies clustered around the Capitol Complex — plus Iowa's position as the nation's top corn, soybean, hog, ethanol, and biodiesel producer with Schedule F farm-income work across the surrounding Polk, Dallas, Warren, Madison, Story, and Jasper County footprint, and the federal procedures stay uniform while the facts stay Des Moines-specific. Iowa's Bosnian-American, Sudanese-American, Somali-American, Karen-American, and Latino refugee and immigrant communities — many resettled through Lutheran Family Services of Iowa — carry steady FBAR and ITIN exposure on overseas accounts.

Your tax rights as a Des Moines Iowa taxpayer

Three parallel rights frameworks apply when you owe tax in Des Moines. Federal rights come from the Internal Revenue Code and IRS Publication 1, the Taxpayer Bill of Rights. State rights come from Iowa Code Chapter 422 (income tax) and Chapter 423 (sales and use tax), with administrative review at the Iowa State Board of Tax Review under Iowa Code § 421.1. County-level rights apply to property-tax protests through the Polk County Board of Review under Iowa Code § 441.37, with further appeal to the Iowa Property Assessment Appeal Board under Iowa Code § 441.37A. Knowing all three is the difference between a clean resolution and a missed administrative-appeal window that ends with an Iowa state tax lien against your East Village, Beaverdale, Sherman Hill, South of Grand, or West Des Moines property.

Right to representation

IRC § 7521(b)(2) and (c) give you the right to be represented by an attorney, CPA, or Enrolled Agent during any IRS examination or interview. Once Form 2848 is on file, the IRS must deal with us first, not you. Iowa mirrors this through Form IA 2848 Power of Attorney filed with the Iowa Department of Revenue.

Right to U.S. Tax Court review

IRC § 6213(a) gives you 90 days from a Statutory Notice of Deficiency to petition the U.S. Tax Court without paying the tax first. Miss the 90 days and the federal assessment becomes final. The U.S. Tax Court holds regular trial sessions in Des Moines at the Neal Smith Federal Building, 210 Walnut Street, in the same building that houses the U.S. District Court for the Southern District of Iowa, Central Division.

Right to Iowa administrative review

Iowa Code § 422.28 gives a taxpayer 60 days from an Iowa Department of Revenue Notice of Assessment to file a written protest. After the protest is reviewed and a final agency action is issued, the taxpayer has the right to a contested-case hearing and judicial review in the Polk County District Court under Iowa Code Chapter 17A (the Iowa Administrative Procedure Act). The state administrative track is materially different in structure from the federal 90-day Tax Court window.

Collection Due Process

IRC § 6320 (lien) and IRC § 6330 (levy) give you a 30-day window to request a CDP hearing once the IRS files a Notice of Federal Tax Lien or issues a Final Notice of Intent to Levy. A timely CDP filing halts collection and preserves judicial review in U.S. Tax Court.

Right to settle for less than owed

Federally, IRC § 7122 authorizes Offers in Compromise based on doubt as to liability, doubt as to collectibility, or effective tax administration. Iowa runs a parallel compromise program at the Department of Revenue under Iowa Code § 421.5, requiring full return-filing compliance and a documented financial-disclosure package.

Right to recover fees

IRC § 7430 allows recovery of administrative and litigation costs if the IRS takes a position that is not substantially justified and the taxpayer prevails. The threshold is high but real, especially in audit reconsideration and Innocent Spouse cases under IRC § 6015.

How Victory Tax Lawyers helps Des Moines taxpayers

Offer in Compromise under IRC § 7122

We file Form 656 with Form 433-A(OIC) or 433-B(OIC), document the Reasonable Collection Potential, and negotiate doubt-as-to-collectibility offers when full collection is not feasible within the remaining CSED. For Des Moines taxpayers, a federal OIC does not resolve Iowa state liability; we run a parallel Iowa Department of Revenue compromise filing under Iowa Code § 421.5 where the state debt is real.

Installment Agreements under IRC § 6159

Streamlined IAs (under $50,000), partial-pay IAs under IRC § 6159(d), and full-pay agreements. We push for partial-pay structures where the IRC § 6502 ten-year CSED will extinguish the balance before payoff — an under-used resolution path for Des Moines taxpayers carrying between $50,000 and $250,000 in federal debt, particularly Principal Financial Group senior staff, Wellmark middle managers, Nationwide regional executives, MercyOne and UnityPoint physicians, and the Meta and Microsoft data-center operations leaders whose RSU cliffs and deferred-compensation timing caught up with them.

Lien discharge, subordination, and withdrawal

When a Notice of Federal Tax Lien blocks a Des Moines property sale or refinance, we file Form 14135 (discharge), Form 14134 (subordination), or Form 12277 (withdrawal). NFTLs filed with the Polk County Recorder encumber title on East Village, Sherman Hill, Beaverdale, South of Grand, Drake Neighborhood, Highland Park, and Ingersoll properties; for properties in Dallas County (West Des Moines, Waukee, Clive), Warren County (Norwalk, Indianola), or Story County (Ames), the lien is recorded with the respective county recorder. The IRS procedures under IRC § 6325 set the cure path. Timing must align with the closing.

Levy release under IRC § 6343

Wage levies, bank levies, and accounts-receivable levies. We document economic hardship under IRC § 6343(a)(1)(D) and Treasury Reg. § 301.6343-1(b)(4), and where the levy is procedurally defective, we challenge it through Collection Due Process or Appeals. Iowa state tax liens follow a parallel track under Iowa Code § 422.26, filed with the county recorder where the taxpayer's property sits — for Des Moines residents, that is most often the Polk County Recorder at 120 2nd Avenue.

Audit defense and U.S. Tax Court litigation

Correspondence audits, office audits, and field examinations — including sensitive issues like cryptocurrency, foreign accounts under FinCEN Form 114 (FBAR), S-corporation reasonable-compensation, Principal Financial Group equity-compensation timing, IRC § 1061 three-year carry holding rule on Principal Asset Management portfolio operators, MercyOne and UnityPoint 1099 physician multi-state filing, Schedule F farm-income issues for taxpayers with Iowa farmland tied to a Des Moines address, ethanol producer § 40 credit substantiation, biodiesel § 40A credit substantiation, and the Iowa Research Activities Credit under Iowa Code § 422.10. If the audit closes unfavorably, we petition the U.S. Tax Court within the 90-day IRC § 6213(a) window. Des Moines trial sessions are held at the Neal Smith Federal Building on Walnut Street.

Penalty abatement under IRC § 6651 and IRM 20.1.1

First-Time Abate administrative relief, reasonable-cause abatement, and statutory exceptions for failure-to-file and failure-to-pay penalties. On accuracy-related penalties under IRC § 6662, we document substantial authority or adequate disclosure to defeat the assessment. Iowa penalties under Iowa Code § 421.27 follow a separate reasonable-cause analysis applied by the Department of Revenue.

Twelve types of Des Moines tax matters we handle

Federal cases for Des Moines residents and businesses, framed against the Iowa DOR and Polk County overlay where it matters.

Principal Financial Group RSU, ISO, and carried-interest exposure

Principal Financial Group, headquartered at 711 High Street, runs one of the largest retirement-services and asset-management platforms in the United States. Senior corporate staff receive restricted-stock units, performance shares, and incentive stock options under IRC § 422. Asset-management line operators within Principal Global Investors, Principal Real Estate Investors, and Principal's affiliated alternatives platforms face the IRC § 1061 three-year holding rule on carried interest that reclassifies short-term carry as ordinary income. The compensation mix is layered and the audit exposure follows the underlying equity instrument and holding period, not the W-2 box.

Wellmark, Nationwide, and Iowa insurance industry compensation

Wellmark Blue Cross Blue Shield of Iowa at 1331 Grand Avenue, Nationwide Mutual Insurance (legacy Allied Insurance footprint), State Farm regional operations, and the broader Des Moines insurance ecosystem issue restricted-stock units, performance-cash awards, and IRC § 409A deferred-compensation packages to senior staff. RSU vest events are taxed as ordinary income under IRC § 83 at the supplemental withholding rate (22% federal default), leaving high-bracket employees underwithheld. The new Iowa 3.9% flat PIT reduces the state shortfall versus prior years but does not eliminate the federal underwithholding gap.

Meta, Microsoft, Apple, and Google data-center contractor cases

The Meta (Facebook) data center in Altoona, the Microsoft data center cluster in West Des Moines, the Apple data center build, and the Google data center in Council Bluffs (90 miles west) anchor an Iowa data-center corridor that draws contract operations, mechanical, and electrical specialists on 1099 arrangements alongside W-2 staff. RSU vesting for transferred coastal-tech employees, IRC § 174 research-and-experimental capitalization for cleared infrastructure researchers, multi-state filing exposure for traveling specialists, and post-2017 TCJA changes to § 174 capitalization drive a separate wave of audit exposure across the data-center contractor ecosystem.

MercyOne, UnityPoint, and Broadlawns 1099 physician cases

MercyOne Des Moines, UnityPoint Health, Iowa Methodist Medical Center, Broadlawns Medical Center, and Iowa Lutheran attending physicians who run private 1099 practices alongside hospital appointments file Schedule C or K-1 income with frequent estimated-tax shortfalls under IRC § 6654. Locum-tenens placements across Iowa, Nebraska, Missouri, and Illinois produce multi-state filing exposure, and the IRC § 199A specified-service-trade-or-business limitation applies to high-income physician owners of solo or small-group practices.

Agricultural Schedule F — Iowa as the nation's top farm state

Iowa leads the nation in corn, soybean, and hog production. For an operator who lives in West Des Moines, Waukee, Ankeny, or rural Polk, Dallas, Warren, Madison, or Jasper County, Schedule F reporting captures the farm income and expenses. IRC § 175 covers soil-and-water conservation expenses. IRC § 1301 farm-income averaging spreads a high-yield year across the prior three years. IRC § 179 and bonus depreciation cover equipment purchases. IRC § 1014 stepped-up basis applies on farmland inherited from a deceased parent. IRC § 2032A special-use valuation reduces federal estate-tax exposure on farm-and-ranch land. Ethanol producer credits under IRC § 40 and biodiesel credits under IRC § 40A apply to Iowa's top-ranked ethanol and biodiesel plants. The Iowa Research Activities Credit under Iowa Code § 422.10 provides a parallel state-level R&D credit for agricultural processors, seed companies, and the broader Iowa agri-tech sector.

Iowa Inheritance Tax transition cases (estates pre-2025)

Iowa repealed its state Inheritance Tax effective January 1, 2025 under SF 619. Estates of decedents dying on or after that date no longer face the inheritance tax that historically ran at 0% for lineal heirs and up to 15% for non-relatives under repealed Iowa Code Chapter 450. Estates of decedents dying before that date are still working through the wind-down at the county level — for Polk County estates, the assessment is administered by the Polk County Clerk of District Court in coordination with the Iowa Department of Revenue. Closing-out estates and resolving inheritance-tax audit disputes from the pre-repeal era is a defined but time-limited category of work, and the parallel federal IRC § 2001 estate tax and IRC § 1014 stepped-up-basis questions still apply.

Trust Fund Recovery Penalty

IRC § 6672 imposes personal liability on officers, partners, and check-signers for unpaid employment-tax withholding. Des Moines restaurant owners (the East Village, Court Avenue, Ingersoll, Beaverdale, and Drake-area food scenes), construction firms (subcontractors orbiting the data-center, insurance-tower, and Capitol Complex build cycles), and small-shop service businesses are the most common targets. The IRS uses Form 4180 interviews to identify responsible persons; the Iowa Department of Revenue applies a parallel responsible-person rule to withheld state PIT and sales tax under Iowa Code § 422.16 and § 423.31.

Notice of Federal Tax Lien

NFTLs filed with the Polk County Recorder encumber title and trigger CDP rights under IRC § 6320. A parallel Iowa state tax lien may be filed under Iowa Code § 422.26. East Village, Sherman Hill, Beaverdale, South of Grand, Drake, Highland Park, Ingersoll, and the broader Downtown Des Moines refinances and sales stall fast when an NFTL hits the title search. For properties in Dallas County (West Des Moines, Waukee, Clive), Warren County (Norwalk, Indianola), Madison County (Winterset, Earlham), or Story County (Ames, Huxley), the lien filing follows the property's home county recorder.

IRS bank or wage levy

Bank levies on accounts at Bankers Trust (the largest privately held bank in Iowa, headquartered in Des Moines), Wells Fargo (substantial Iowa retail and commercial presence), West Bank, Great Western Bank (now First Interstate), Lincoln Savings Bank, Iowa State Bank, U.S. Bank, JPMorgan Chase, and Bank of America. Wage levies hit Des Moines employers within days of CP90 or LT11 issuance — Principal Financial Group, Wellmark, Nationwide, the State of Iowa central payroll, MercyOne, UnityPoint, the City of Des Moines, Polk County, the major Des Moines law firms, the Meta and Microsoft data-center operators, and Drake University all process IRS wage levies regularly.

Passport revocation under IRC § 7345

A seriously delinquent tax debt (over $62,000 for 2025, indexed annually) triggers State Department certification and passport hold. With Des Moines International Airport (DSM) as the metro gateway and Principal Financial Group's global asset-management footprint bringing regular international business travel, this hits frequent business travelers, insurance-and-asset-management international operators, agricultural-export executives at Pioneer Hi-Bred and Corteva (legacy DuPont Pioneer in Johnston), and academic researchers tied to Iowa State University international collaborations.

FBAR and FATCA for Iowa's refugee and immigrant communities

FinCEN Form 114 for foreign accounts over $10,000 aggregate. Des Moines is home to substantial Bosnian-American (one of the largest Bosnian resettlement communities in the United States, dating to the 1990s Lutheran Family Services of Iowa resettlement program), Sudanese-American, Somali-American, Karen-American Burmese, and Latino immigrant communities, all of whom carry steady FBAR exposure on overseas accounts inherited from family, maintained for cross-border remittance, or tied to refugee-era assets. The IRS Streamlined Filing Compliance Procedures are a frequent engagement for first-time disclosures. ITIN applications on Form W-7 for non-resident filers are a parallel track for taxpayers without a Social Security Number.

Drake Law academic and Iowa State Government 1099 cases

Drake University and Drake Law School faculty in the Drake Neighborhood, Grand View University faculty in Highland Park, and Iowa State University faculty in Ames (35 miles north) frequently carry consulting income on Schedule C alongside W-2 academic appointments. State of Iowa contract employees — legislative staff, executive-branch consultants, and the broader Capitol Complex policy ecosystem — produce 1099 estimated-tax shortfalls under IRC § 6654. Clergy housing allowances under IRC § 107 apply to Des Moines's broad Lutheran, Catholic, and other religious-institution clergy serving the metro and refugee-resettlement communities.

Nine common causes of tax debt for Des Moines taxpayers

Patterns we see repeatedly in Des Moines engagements. None of them are unusual — all of them are resolvable.

1. Underwithheld Principal Financial Group or Wellmark RSU vests

A Principal Financial Group senior asset-management staffer or Wellmark BCBS executive at the 35% or 37% federal marginal bracket sees only 22% supplemental withholding on RSU vests. The shortfall produces a five-figure federal balance due the following April even after the Iowa flat 3.9% PIT softens the state side.

2. Self-employment underpayment

MercyOne, UnityPoint, and Broadlawns attending physicians with 1099 practices, Drake Law adjunct faculty consulting income, agricultural-commodities consultants, insurance-industry independent contractors, real-estate agents, and tradespeople file Schedule C or K-1 income with no estimated-tax payments. The first IRS CP14 lands the following spring with penalties under IRC § 6654.

3. Business closure

When an LLC or S-corp closes with unpaid Form 941 payroll-tax balances, IRC § 6672 follows the responsible officer personally — well after the entity is dissolved. Common after post-2020 East Village, Court Avenue, and Ingersoll restaurant turnover and the agricultural-construction subcontractor consolidations of 2022-2025 tied to the data-center build cycles.

4. Divorce and joint-return fallout

A jointly-filed return tied to a now-former spouse's understatement leaves both parties liable until Innocent Spouse relief under IRC § 6015 is granted. Common in Principal Financial Group senior-staff divorces and Wellmark executive divorces with deferred-compensation records that pre-date the marriage.

5. Schedule F farm-income spikes and ethanol-credit substantiation

An Iowa corn or soybean operator with a high-yield year, a livestock-cycle inventory swing, or a section § 40 ethanol or § 40A biodiesel credit claim faces a heavier filing burden than the prior year. Missing the IRC § 1301 farm-income averaging election turns a five-year peak into a single-year peak bracket. CP2000 substantiation requests on ethanol and biodiesel credits draw audit attention.

6. Cryptocurrency CP2000 surprise

Exchanges issue Form 1099-DA (introduced 2025), and the IRS computer matches reported gains. Missed basis records turn into ordinary-income assessments at the full sale price. Des Moines's tech corridor tied to the Meta, Microsoft, Apple, and Google data-center ecosystem and the Principal Financial Group asset-management workforce picked up substantial crypto exposure through 2021-2024.

7. Late-filed or unfiled returns

Failure-to-file under IRC § 6651(a)(1) compounds at 5% per month, capped at 25%. After three years, refunds are barred under IRC § 6511. Iowa follows a three-year refund bar under Iowa Code § 422.73.

8. Real-estate sale without estimated tax

An East Village, Sherman Hill, Beaverdale, South of Grand, Drake, Ingersoll, or West Des Moines property sale generating substantial capital gain, with no Form 1040-ES payment, produces a tax bill the next April. Investor flips taxed at ordinary-income rates — not capital-gain — under the dealer-status rules of IRC § 1221. Iowa taxes capital gains as ordinary income at the new 3.9% flat rate under Iowa Code § 422.5 starting tax year 2026 — with the historic Iowa capital-gain deduction under Iowa Code § 422.7 having been phased out as part of the HF 2317 reforms for most asset categories.

9. Post-2020 inbound relocation residency disputes

Des Moines absorbed material post-2020 inbound migration from California, Washington, Colorado, and the coastal metros driven by Iowa's affordable cost of living, the Principal Financial Group asset-management ecosystem, and the data-center corridor. High-earners who claim a clean break from their former state often face residency audits from the prior state's revenue department, while Iowa assesses tax from the date of the claimed move-in. Documenting domicile (Iowa driver's license, voter registration, primary residence, professional licenses, time-in-state) is the difference between a clean break and a dual-state tax bill.

Eight tax liabilities that pull in Des Moines taxpayers

Federal authority alongside the Iowa statute where there is a parallel.

Failure to file federal return

IRC § 6651(a)(1) imposes 5%/month, max 25%, plus interest under IRC § 6601. The Iowa mirror at Iowa Code § 421.27 imposes a 10% failure-to-file penalty on unpaid Iowa tax (with a 5% failure-to-pay penalty applied separately).

Failure to file Iowa state return

Iowa Code § 421.27 imposes the 10% failure-to-file penalty plus 5% failure-to-pay on unpaid Iowa PIT, with interest under Iowa Code § 421.7. The Department of Revenue issues a Notice of Assessment triggering the 60-day protest window under Iowa Code § 422.28. The historic graduated PIT rates collapse to a single 3.9% flat rate effective tax year 2026 under HF 2317 and HF 2125.

Federal § 7122 Offer in Compromise eligibility

All federal returns must be filed (IRC § 7122(d) compliance) and the offer must reflect Reasonable Collection Potential. The non-refundable $205 application fee may be waived for low-income certified offers.

Iowa sales-tax delinquency

Iowa Code § 423.2 sets the 6% state sales tax. Polk County adds a 1% local-option sales tax under Iowa Code § 423B, and the City of Des Moines layers an additional 0.5%, bringing the combined Des Moines sales tax to 7.5% on most retail transactions. Iowa Code § 423.31 imposes personal liability on responsible persons for unpaid trust-fund sales tax.

Trust Fund Recovery Penalty

IRC § 6672 imposes 100% personal liability on responsible persons for unpaid trust-fund employment tax. Iowa applies a parallel responsible-person rule to withheld state PIT under Iowa Code § 422.16 and to sales tax under Iowa Code § 423.31.

Accuracy-related penalty

IRC § 6662 imposes 20% on substantial-understatement or negligence; IRC § 6663 imposes 75% on fraud. Defense is built on substantial authority, adequate disclosure, or reasonable cause.

Iowa Corporate Income Tax

Iowa Code § 422.33 imposes the Iowa Corporate Income Tax on a graduated 5.5% to 9.8% schedule, with the top rate phasing down on a parallel track with the personal income tax reforms under HF 2317. Single-sales-factor apportionment under Iowa Code § 422.32 produces favorable results for Des Moines-based businesses selling out of state — particularly material for insurance, asset-management, and data-center taxpayers with national customer bases.

Iowa Research Activities Credit

Iowa Code § 422.10 provides an Iowa Research Activities Credit modeled on the federal IRC § 41 credit. The Iowa credit is partially refundable and applies to qualified research conducted in Iowa — covering agricultural processors (Pioneer Hi-Bred, Corteva), insurance-and-finance technology builders (Principal, Wellmark), and the broader Iowa agri-tech and fintech sector. Substantiation under Iowa DOR audit follows the federal § 41 four-part test plus state-specific documentation rules.

What resolution can look like

Debt reduced

An accepted IRC § 7122 Offer in Compromise can resolve six-figure balances for cents on the dollar where Reasonable Collection Potential supports the offer. The acceptance rate sits around 33% nationally; preparation determines the outcome.

Penalties abated

First-Time Abate removes a single year of failure-to-file or failure-to-pay penalties for taxpayers with a clean three-year compliance record. Reasonable-cause abatement under IRM 20.1.1 reaches further when supported by documentation.

Lien released or withdrawn

Once a debt is paid in full, the IRS releases the Notice of Federal Tax Lien within 30 days per IRC § 6325(a). On an Installment Agreement of $25,000 or less, lien withdrawal under Form 12277 can be requested to clear title with the Polk County Recorder.

Sample tax-resolution outcomes

Anonymized client matters drawn from our $100M+ aggregate tax-relief record across 2,000+ resolved cases.

Year	Tax debt	Resolution	Final outcome
2024	$152,296	IRC § 6159 Installment Agreement	Accepted at $25/month, partial-pay
2024	$138,296	Streamlined Installment Agreement	Accepted at $25/month
2023	$130,555	Partial-Pay Installment Agreement	Accepted at $50/month
2023	$128,206	IRC § 6159 Installment Agreement	Accepted at $25/month
2022	$116,451	Partial-Pay Installment Agreement	Accepted at $50/month

Past results do not guarantee future outcomes. Each tax case is unique. Results depend on the specific facts of the matter, including the taxpayer's financial condition, compliance history, and the discretion of the Internal Revenue Service, the Iowa Department of Revenue, the Polk County Treasurer, the U.S. Tax Court, the Iowa State Board of Tax Review, the Iowa Property Assessment Appeal Board, or other adjudicating body.

Why Victory Tax Lawyers for a Des Moines federal-tax case

Victory Tax Lawyers is California-Bar-admitted, not Iowa-Bar-admitted. That distinction matters — and it does not block our work. The U.S. Tax Court is a federal court with nationwide jurisdiction; an attorney admitted to that court may petition and try cases at any of its trial locations, including Des Moines at the Neal Smith Federal Building on Walnut Street. IRS administrative practice runs on Form 2848 Power of Attorney, which is accepted from any attorney in good standing with any state bar plus an active Centralized Authorization File number. Most of our Des Moines clients never need a separately admitted Iowa attorney because the case is, at its core, federal.

For administrative work before the Iowa Department of Revenue — protests, audit responses, compromise submissions under Iowa Code § 421.5, and installment-agreement requests — we file Iowa Form IA 2848 Power of Attorney and handle the matter remotely. When a case must move to the Iowa State Board of Tax Review or to judicial review in the Polk County District Court, or further appeal to the Iowa Court of Appeals or the Iowa Supreme Court, we coordinate with locally admitted Iowa counsel under a co-counsel arrangement. The federal portion of the engagement, which is usually the larger exposure given the Principal Financial Group asset-management compensation footprint, the Wellmark and Nationwide insurance industry overlay, the data-center contractor base, and the agricultural Schedule F operator base, stays with us.

What distinguishes our firm: a California-Bar-admitted managing attorney with active U.S. Tax Court admission, an Enrolled Agent on staff for IRS administrative work, a 5.0 / 72-review Google rating, and $100M+ in cumulative tax relief secured across 2,000+ resolved matters. No marketing claim of being an Iowa-licensed firm — we are not. A factually accurate offer of federal tax representation, available to any Des Moines taxpayer, at the same standard we apply to a Los Angeles client. Our 100% remote workflow runs through a secure document portal — you never have to drive to Robertson Boulevard.

Our seven-step process for Des Moines clients

Free consultation

A 30-minute call with a tax attorney to scope your matter, identify deadlines, and decide whether engagement is the right move.

Engagement letter

A written scope, fee structure, and conflict check. Flat fees for administrative resolution; hourly or hybrid for litigation.

Form 2848 and CAF

We file the federal Power of Attorney with the IRS and Iowa Form IA 2848 with the Iowa DOR, register on the CAF system, and step in as the contact of record.

Transcript and CSED analysis

We pull IRS account transcripts via Form 8821, calculate each year's CSED under IRC § 6502, and identify tolling events.

Strategy memo

A written summary: the resolution path (OIC, IA, CNC, audit response, CDP, Tax Court), the timeline, and the realistic outcome range.

Filing and negotiation

We file the operative document — Form 656, Form 433-A(OIC), Form 9423, Form 12153, or an Iowa State Board of Tax Review petition through local counsel — and handle every IRS and Iowa DOR contact.

Compliance monitoring

After resolution we monitor compliance through the OIC five-year terms or the IA term, file future returns, and prevent default.

Two collection clocks: federal CSED and Iowa assessment limits

The IRS has ten years from the date of assessment to collect a federal tax under IRC § 6502. After the Collection Statute Expiration Date, the debt is extinguished by operation of law. The clock pauses (“tolls”) when an Offer in Compromise is pending, when a Collection Due Process petition is filed, during bankruptcy, when an installment agreement is requested, and when the taxpayer is outside the United States for six months or more.

Iowa runs a parallel state collection rule under Iowa Code § 422.25: the Department of Revenue must assess Iowa income tax within three years of the return due date (six years for omission of gross income exceeding 25%, with no statute on assessment in cases of fraud or non-filing). Once assessed, the Iowa collection right runs under Iowa Code § 422.26, which provides for a state tax lien continuing until paid or extinguished by the taxpayer's discharge in bankruptcy or operation of law. Many Des Moines taxpayers carry a federal CSED that will run out before the Iowa lien is released — making the state debt the longer-term collection exposure. Pull both records and know the dates before agreeing to any payment plan or amended return that could restart a clock. For pre-2025 Iowa Inheritance Tax assessments still in the wind-down, the Polk County Clerk of District Court and the Iowa Department of Revenue coordinate the collection track separately.

Des Moines tax authorities and venues

A working knowledge of the tribunals, agencies, and field offices in Des Moines is what separates an answered Notice from a wage levy. Below is the working list our firm uses on every Des Moines matter.

Internal Revenue Service — Des Moines Taxpayer Assistance Center

The federal tax authority, at irs.gov. The Des Moines Taxpayer Assistance Center operates at 210 Walnut Street in the Neal Smith Federal Building, Des Moines IA 50309. Appointments required.

U.S. Tax Court — Des Moines trial sessions

The U.S. Tax Court holds regular trial sessions in Des Moines at the Neal Smith Federal Building, 210 Walnut Street, Des Moines IA 50309. Petitions are filed at ustaxcourt.gov; the 90-day deadline runs from the IRS Statutory Notice of Deficiency under IRC § 6213(a).

Iowa Department of Revenue

The state tax authority, at tax.iowa.gov. Headquartered at the Hoover State Office Building, 1305 East Walnut Street, Des Moines IA 50319 — the state capital. Administers the flat 3.9% personal income tax effective tax year 2026 under Iowa Code § 422.5 (HF 2317 and HF 2125), the graduated 5.5% to 9.8% Corporate Income Tax under Iowa Code § 422.33, the 6% state sales tax under Iowa Code § 423.2, withholding tax, the Iowa Research Activities Credit under Iowa Code § 422.10, and the Iowa compromise authority under Iowa Code § 421.5.

Iowa State Board of Tax Review

The independent state administrative tribunal that hears appeals from the Iowa Department of Revenue. Created under Iowa Code § 421.1. Seated in Des Moines as part of the Iowa state-government Capitol Complex. After Department of Revenue protest and final agency action, judicial review proceeds in the Polk County District Court under Iowa Code Chapter 17A (the Iowa Administrative Procedure Act), with further appeal to the Iowa Court of Appeals and Iowa Supreme Court. Victory Tax Lawyers refers Iowa State Board of Tax Review litigation to locally admitted Iowa counsel; we handle the Department of Revenue administrative phase directly under Iowa Form IA 2848 Power of Attorney.

Iowa Property Assessment Appeal Board (PAAB)

An independent state board under Iowa Code § 421.1A that hears property-tax-valuation appeals from county boards of review. For Polk County property-tax disputes, the path runs from the Polk County Board of Review (under Iowa Code § 441.37) to PAAB (under Iowa Code § 441.37A) and then to the Polk County District Court. The board sits in Des Moines.

Polk County Treasurer

Polk County collects real-estate and personal-property taxes for Des Moines and administers tax-sale and delinquency procedures. Office at 111 Court Avenue, Room 154, Des Moines IA 50309. Page: polkcountyiowa.gov/treasurer. NFTLs affecting Des Moines real estate in Polk County are recorded with the Polk County Recorder at 120 2nd Avenue; for Dallas County properties (West Des Moines, Waukee, Clive), Warren County properties (Norwalk, Indianola), Madison County properties (Winterset), or Story County properties (Ames), the lien filing follows the property's home county recorder.

Polk County Assessor

Sets the assessed value for real and personal property within Polk County. Office at 111 Court Avenue, Room 195, Des Moines IA 50309. Property valuation protests run through the Polk County Board of Review under Iowa Code § 441.37, with further appeal to the Iowa Property Assessment Appeal Board under Iowa Code § 441.37A. Property-tax protest deadlines are statutorily set and shorter than most income-tax windows.

City of Des Moines Treasurer and Finance

The municipal finance authority for the City of Des Moines. Office at 400 Robert D. Ray Drive, Room 0030, Des Moines IA 50309. Administers city sales-tax stack (the 0.5% Des Moines local-option layer on top of Polk County's 1% and Iowa's 6%, for a combined 7.5% rate), city-level business licenses, and certain user fees. Iowa does not impose municipal-level income or earnings taxes, so the city-level exposure runs primarily through sales-tax and business-license filings.

U.S. District Court — Southern District of Iowa, Central Division

Refund suits filed after payment of tax and exhaustion of administrative remedies under IRC § 7422 may be brought in the U.S. District Court for the Southern District of Iowa, Central Division, located at the Brown Federal Building, 123 East Walnut Street, Des Moines IA 50309, or the U.S. Court of Federal Claims in Washington, D.C.

IRS Independent Office of Appeals

The administrative-appeals body within the IRS that resolves cases without litigation. Des Moines cases run through the Appeals offices serving the central United States. Filings: Form 9423 (collection appeal) and Form 12153 (CDP). Page: irs.gov/appeals.

Taxpayer Advocate Service — Iowa

An independent organization within the IRS that helps when normal channels stall. The Iowa Local Taxpayer Advocate office serves taxpayers across Iowa, with Des Moines coverage from the Neal Smith Federal Building footprint. Page: taxpayeradvocate.irs.gov.

State of Iowa Capitol Complex

Des Moines is Iowa's state capital. The Iowa State Capitol sits at 1007 East Grand Avenue, and the state-government agency cluster — including the Hoover State Office Building (DOR headquarters), the Lucas State Office Building, and the Wallace State Office Building — all sit within walking distance. For statewide tax-policy and statute interpretation issues, the legislative-and-executive footprint is concentrated here.

Speak with a tax attorney about your Des Moines matter

Free consultation, attorney-client privileged, no obligation. If a Notice of Deficiency, a Final Notice of Intent to Levy, an Iowa DOR Notice of Assessment, or a Polk County tax notice is in front of you, the deadline to respond is real and short — call today.

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Frequently asked questions — Des Moines Iowa tax

Iowa repealed its Inheritance Tax in 2025 — what does that mean for my estate?

Iowa repealed its state Inheritance Tax effective January 1, 2025 under SF 619 (which phased out and ultimately repealed Iowa Code Chapter 450). Estates of decedents dying on or after that date face no Iowa inheritance tax — a material change from the prior structure, where the tax ran at 0% for lineal heirs (parents, children, grandchildren) and up to 15% for non-relatives such as friends, cousins, or unrelated heirs. Estates of decedents who died before January 1, 2025 are still working through the wind-down at the county level — for Polk County estates, the assessment is administered by the Polk County Clerk of District Court in coordination with the Iowa Department of Revenue. There is no state estate tax in Iowa — only the federal estate tax under IRC § 2001 applies to estates exceeding the federal exemption. The repeal does not change federal stepped-up basis under IRC § 1014 or federal estate planning under IRC § 2032A for farmland.

What is Iowa's flat 3.9% income tax and when does it apply?

Under HF 2317 (enacted 2022) and HF 2125 (enacted 2024 to accelerate the schedule), Iowa is phasing down its graduated personal income tax to a single flat 3.9% rate effective tax year 2026. The reform replaces Iowa's prior graduated bracket structure under Iowa Code § 422.5 with a single rate applied to taxable income above the standard deduction. The Iowa corporate income tax under Iowa Code § 422.33 follows a parallel phase-down. For Des Moines residents, the practical effect is that an underwithheld Principal Financial Group RSU vest or a Schedule C 1099 shortfall produces less state-tax exposure in 2026 than it did in 2022, but the federal underwithholding gap remains. Watch the timing of vest events, K-1 distributions, and capital-gain realizations — pulling income into a higher prior-rate year produces a worse outcome than pushing it into the 3.9% year.

Where is the closest U.S. Tax Court trial location to Des Moines?

The U.S. Tax Court holds regular trial sessions in Des Moines itself at the Neal Smith Federal Building, 210 Walnut Street, Des Moines IA 50309. A taxpayer anywhere in central or southern Iowa can request the Des Moines trial location when filing the Tax Court petition. Petitions are filed electronically through DAWSON at ustaxcourt.gov; the 90-day deadline from the IRS Statutory Notice of Deficiency under IRC § 6213(a) is jurisdictional — a single day late and the federal assessment becomes final.

What is the Iowa State Board of Tax Review and what is its deadline?

The Iowa State Board of Tax Review is the independent state administrative tribunal that hears appeals from final Iowa Department of Revenue decisions. It was created under Iowa Code § 421.1 and sits in Des Moines. Before reaching the Board, a taxpayer must first protest the Notice of Assessment to the DOR within 60 days under Iowa Code § 422.28 and exhaust the agency-level review. After final agency action, the matter may proceed under Iowa Code Chapter 17A through judicial review in the Polk County District Court, with further appeal to the Iowa Court of Appeals and Iowa Supreme Court. Victory Tax Lawyers refers Iowa State Board of Tax Review litigation and any state-court judicial review to locally admitted Iowa counsel; we handle the Department of Revenue protest and administrative phase directly under Iowa Form IA 2848 Power of Attorney.

I work at Principal Financial Group — what's different about my tax situation?

Principal Financial Group runs both retirement-services and asset-management lines: corporate W-2 staff receive RSUs, performance shares, and incentive stock options under IRC § 422. Asset-management line operators in Principal Global Investors, Principal Real Estate Investors, and the affiliated alternatives platforms face the IRC § 1061 three-year holding rule on carried interest that reclassifies short-term carry as ordinary income. The federal tax treatment depends on the underlying equity instrument and holding period, not the W-2 box. ISO exercises trigger the IRC § 56(b)(3) AMT preference even where no regular-tax income is recognized, producing AMT exposure that surfaces months after the exercise. We pull the equity records, model the AMT impact, and structure the audit response or amended-return strategy around the actual compensation instrument.

I have a Schedule F corn or soybean operation outside Des Moines — what tax provisions matter most?

For a Des Moines resident who farms ground in Polk, Dallas, Warren, Madison, Jasper, or Story County, Schedule F reporting captures the farm income and expenses. IRC § 175 allows current deduction of soil-and-water conservation expenses. IRC § 1301 farm-income averaging spreads a high-yield year across the prior three years — routinely the single largest planning lever in a strong commodity-price year. IRC § 179 and bonus depreciation cover equipment purchases. IRC § 1014 stepped-up basis applies on farmland inherited from a deceased parent. IRC § 2032A special-use valuation reduces federal estate-tax exposure where farmland would otherwise be valued at its highest economic use rather than its farm use. The IRC § 40 ethanol producer credit and IRC § 40A biodiesel credit apply to Iowa's largest ethanol and biodiesel producers. The Iowa Research Activities Credit under Iowa Code § 422.10 applies to qualified research at agricultural processors, seed companies, and the broader Iowa agri-tech sector. With Iowa repealing its Inheritance Tax in 2025, the historical county-level inheritance-tax overlay on farm-succession planning is gone for decedents dying on or after January 1, 2025.

What is Iowa's collection statute of limitations?

Iowa Code § 422.25 gives the Department of Revenue three years from a return's due date to assess Iowa income tax (six years for omission of gross income exceeding 25%, with no limit for fraud or unfiled returns). Once an assessment is final and a state tax lien has been filed under Iowa Code § 422.26, Iowa's collection right continues until the debt is paid or extinguished by the taxpayer's discharge in bankruptcy or operation of law. This is materially different from the federal IRC § 6502 ten-year CSED. A Des Moines taxpayer whose federal CSED expires may still face an active Iowa state tax lien for the same tax year.

Can I be audited by both the IRS and the Iowa DOR for the same year?

Yes. The IRS and the Iowa Department of Revenue operate independently and share information through the IRS-state exchange program. A federal audit adjustment is routinely reported to Iowa under the state's federal-change reporting rule under Iowa Code § 422.25(5), and vice versa. We coordinate the audits to prevent inconsistent positions on the federal record from costing you on the Iowa return — particularly material on multi-year Principal Financial Group equity compensation, Schedule F farm-income averaging elections, ethanol or biodiesel credit substantiation, and Iowa Research Activities Credit claims.

Does Iowa offer an Offer in Compromise equivalent to the federal program?

Yes. The Iowa Department of Revenue accepts compromise offers under its compromise authority at Iowa Code § 421.5. The Department considers offers based on doubt as to collectibility, doubt as to liability, and economic hardship — standards that parallel federal IRC § 7122 analysis but with state-specific procedural rules. All Iowa returns must be filed before consideration, and a financial-disclosure package is required. We typically run an Iowa compromise filing in parallel with the federal Offer where both debts are real.

Can a California-Bar-admitted attorney represent me in Des Moines?

For federal IRS matters — yes. The IRS accepts Form 2848 Power of Attorney from any attorney in good standing with any state bar. The U.S. Tax Court is a single federal court with nationwide jurisdiction; an attorney admitted to that court may represent a taxpayer at any Tax Court trial location, including Des Moines. For Iowa DOR administrative work, we file Iowa Form IA 2848 Power of Attorney and handle the matter remotely. For formal litigation at the Iowa State Board of Tax Review, the Polk County District Court, the Iowa Court of Appeals, or the Iowa Supreme Court, we co-counsel with locally admitted Iowa attorneys. Most engagements — audit defense, OIC, IA, levy release, Tax Court — are federal and stay entirely with our firm.

I am a member of Des Moines's Bosnian-American or Karen-American community with accounts overseas — what FBAR obligations apply?

Des Moines is home to one of the largest Bosnian-American communities in the United States (resettled through Lutheran Family Services of Iowa in the 1990s and 2000s) and a significant Karen-American Burmese community, Sudanese-American community, Somali-American community, and Latino immigrant population. FinCEN Form 114 (the FBAR) is required of any U.S. person with foreign financial accounts aggregating over $10,000 at any point during the calendar year, regardless of where the funds originated or the country of the account. Accounts held in Bosnia, Myanmar, Sudan, Somalia, Mexico, or any other home country are reportable. The IRS Streamlined Filing Compliance Procedures provide a path for taxpayers whose non-filing was non-willful — common in refugee and immigrant communities where the FBAR requirement was never communicated. We handle Streamlined Filing submissions, FBAR delinquency, and ITIN applications on Form W-7 for non-resident family members without a Social Security Number.

What if I have unfiled returns going back several years?

The IRS Voluntary Filing Compliance policy and IRM 5.1.11.6 generally require the last six years of returns to bring a taxpayer back into compliance. Filing prior-year returns is the first step before any OIC, IA, or CNC request — IRC § 7122(d) compliance is a prerequisite for a federal Offer. Refunds claimed on returns filed more than three years after the original due date are time-barred under IRC § 6511(b)(2). Iowa follows a parallel filing-compliance posture; the Department of Revenue may assess based on the federal-change reporting rule or estimate tax when a taxpayer fails to file. The three-year Iowa refund bar runs under Iowa Code § 422.73.

Can the IRS levy my Des Moines bank account or wages?

Yes — after a Final Notice of Intent to Levy (CP90 or LT11) and expiration of the 30-day Collection Due Process window under IRC § 6330, the IRS may levy bank accounts at Bankers Trust, Wells Fargo, West Bank, First Interstate (legacy Great Western), Lincoln Savings Bank, Iowa State Bank, U.S. Bank, JPMorgan Chase, or any Iowa-chartered institution and serve wage levies on Des Moines employers including Principal Financial Group, Wellmark BCBS, Nationwide Mutual Insurance, the State of Iowa central payroll, MercyOne, UnityPoint Health, the City of Des Moines, Polk County, Drake University, the major Des Moines law firms, and the Meta and Microsoft data-center operators. A timely Form 12153 CDP request halts collection while the case is reviewed by Appeals. After a CDP determination, the taxpayer has 30 days to petition the U.S. Tax Court under IRC § 6330(d)(1). The Iowa DOR issues parallel state tax liens under Iowa Code § 422.26.

I just moved to Des Moines from California — do I still owe California tax?

Possibly, depending on how clean your residency break is. California is aggressive about residency audits under R&TC § 17014 and applies a multi-factor test including time spent in California, location of permanent home, location of family, business connections, professional licenses, voter registration, and vehicle registration. Des Moines's post-2020 wave of inbound migration from California, Washington, and Colorado — driven by Principal Financial Group's asset-management footprint, the data-center corridor, and Iowa's affordable cost of living — has produced a steady stream of dual-state residency disputes. A high earner who claims a Des Moines move on a given date but continues to maintain California ties (a home, a business, a doctor, a frequent-traveler footprint) may be assessed California tax for years after the claimed departure. Documenting domicile (Iowa driver's license, voter registration, primary residence in Des Moines, professional licenses transferred, time-in-state) is the difference between a clean break and a dual-state tax bill.

How long does a federal Offer in Compromise take to process?

An IRS Offer in Compromise typically takes six to twelve months from filing to a final decision. The IRS deems an Offer accepted if not rejected within 24 months under IRC § 7122(f). While the OIC is pending, IRC § 6331(k) bars most levies, and the CSED is tolled. Rejected offers carry a 30-day Appeals window. A well-documented Offer with a complete Form 433-A(OIC) or 433-B(OIC) financial package moves faster than one returned for incompleteness. An Iowa compromise filing under Iowa Code § 421.5 typically runs four to nine months on a parallel track.

About the author

This page was written and reviewed by Parham Khorsandi, Esq., Managing Attorney of Victory Tax Lawyers, LLP. Cal Bar #266658. Admitted to practice before the United States Tax Court. Mr. Khorsandi has resolved over 2,000 federal tax matters and secured more than $100 million in tax relief for clients across all 50 states.

Page last reviewed: May 25, 2026. Editorial standard: every federal-statute citation links to law.cornell.edu (Legal Information Institute, Cornell Law School). Every Iowa statute citation references the Iowa Code. Every administrative authority links to its primary .gov source. Material changes to the law are reflected within 30 days of effective date.

Attorney Advertising. This page is provided by Victory Tax Lawyers, LLP for general informational purposes only. Nothing on this page constitutes legal advice, creates an attorney-client relationship, or substitutes for consultation with a licensed attorney about your specific tax matter. Prior results described or referenced do not guarantee a similar outcome. Each tax case turns on its individual facts, applicable law, and the discretion of the Internal Revenue Service, the Iowa Department of Revenue, the Polk County Treasurer, the U.S. Tax Court, the Iowa State Board of Tax Review, the Iowa Property Assessment Appeal Board, or other adjudicating body.

Victory Tax Lawyers, LLP is California-Bar-admitted with its principal office at 1100 S. Robertson Blvd., Los Angeles, CA 90035. The firm represents clients in federal tax matters nationwide via Form 2848 Power of Attorney and admission to the United States Tax Court. The firm is not admitted to practice in the courts of the State of Iowa; where an Iowa state-court appearance, Iowa State Board of Tax Review litigation, or Iowa Property Assessment Appeal Board litigation is required, the firm associates with locally admitted counsel.

IRS Circular 230 Disclosure: The discussion of U.S. federal tax issues on this page is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed under the Internal Revenue Code or for promoting, marketing, or recommending to another party any tax-related matters addressed. For specific tax advice, consult independent tax counsel.

Authorities cited on this page

26 U.S.C. § 7122 — Federal Offer in Compromise
26 U.S.C. § 6159 — Installment Agreements
26 U.S.C. § 6321 — Federal Tax Lien
26 U.S.C. § 6325 — Lien Release and Discharge
26 U.S.C. § 6331 — Levy and Distraint
26 U.S.C. § 6343 — Release of Levy
26 U.S.C. § 6502 — Collection Statute Expiration
26 U.S.C. § 6213 — Tax Court Petition Window
26 U.S.C. § 6320 — CDP for Liens
26 U.S.C. § 6330 — CDP for Levies
26 U.S.C. § 6651 — Failure-to-File and Failure-to-Pay
26 U.S.C. § 6672 — Trust Fund Recovery Penalty
26 U.S.C. § 6015 — Innocent Spouse Relief
26 U.S.C. § 7345 — Passport Revocation
26 U.S.C. § 41 — Federal Research Activities Credit
26 U.S.C. § 40 — Ethanol producer credit
26 U.S.C. § 40A — Biodiesel producer credit
26 U.S.C. § 1301 — Farm-income averaging
26 U.S.C. § 175 — Soil-and-water conservation expenses
26 U.S.C. § 1014 — Stepped-up basis at death
26 U.S.C. § 1061 — Three-year holding rule for carried interest
26 U.S.C. § 2001 — Federal estate tax
26 U.S.C. § 2032A — Special-use valuation for farm-and-ranch land
26 U.S.C. § 199A — Qualified Business Income (SSTB limitation)
26 U.S.C. § 107 — Clergy housing allowance
Iowa Code § 422.5 — Iowa personal income tax (flat 3.9% effective tax year 2026 under HF 2317 and HF 2125)
Iowa Code § 422.10 — Iowa Research Activities Credit
Iowa Code § 422.16 — Iowa income-tax withholding responsible-person liability
Iowa Code § 422.25 — Iowa assessment statute of limitations
Iowa Code § 422.26 — Iowa state tax lien
Iowa Code § 422.28 — Iowa protest of Notice of Assessment (60-day window)
Iowa Code § 422.33 — Iowa Corporate Income Tax (graduated 5.5% to 9.8%, phasing down)
Iowa Code § 422.73 — Iowa refund statute of limitations (three years)
Iowa Code § 423.2 — Iowa state sales and use tax (6%)
Iowa Code § 423.31 — Iowa sales-tax responsible-person liability
Iowa Code § 423B — Polk County local-option sales tax (1%)
Iowa Code § 421.1 — Iowa State Board of Tax Review (creation)
Iowa Code § 421.1A — Iowa Property Assessment Appeal Board (creation)
Iowa Code § 421.5 — Iowa compromise authority
Iowa Code § 421.7 — Iowa interest on unpaid tax
Iowa Code § 421.27 — Iowa failure-to-file and failure-to-pay penalties
Iowa Code § 441.37 — Polk County Board of Review (property-tax protests)
Iowa Code § 441.37A — Iowa Property Assessment Appeal Board jurisdiction
Iowa Code Chapter 17A — Iowa Administrative Procedure Act (judicial review)
SF 619 (2021) — Iowa Inheritance Tax repeal (effective January 1, 2025; repealed Iowa Code Chapter 450)
HF 2317 (2022) — Iowa flat-tax conversion and corporate-tax phase-down
HF 2125 (2024) — Acceleration of Iowa flat-tax schedule to 3.9% effective tax year 2026