How to File Iowa Sales Tax Online

Filing your Iowa sales tax return is simple with the state’s online system. You can file and pay directly through Iowa’s GovConnectIowa website, as long as your business is registered to collect and remit sales tax.

This guide will walk you through the step-by-step process of filing online so you can submit returns on time, avoid penalties, and stay compliant with Iowa’s sales tax rules.

What You Need Before Filing

Before filing your sales tax return, you must prepare specific records to ensure your report is accurate. Here are the standard documents required to file a sales tax return in Iowa:

• Iowa Sales and Use Tax Permit – You’re required to have an Iowa sales and use tax account to file your sales tax return. Once your registration with the Iowa Department of Revenue (Iowa DOR) is approved, you will be assigned a tax permit number
• GovConnectIowa Account Log-in Details – The primary way to file your Iowa sales tax return online is by logging onto your GovConnectIowa account. To access the site, ensure you have your log-in credentials ready (e.g., your username and password).
• Total Sales – Gather your total revenue during the filing period. This includes all sales, whether they’re taxable or not. Even if you currently have no sales records, you’re still required to file a return.
• Taxable Sales – Compile the total taxable sales your business made within the filing period. You’ll need this data to determine how much sales tax you owe and must pay for the filing period.
• Taxable Purchases – Verify the total amount of taxable purchases your business spent within the filing period. This applies to both in-state and out-of-state transactions.
• Local Sales Tax Report – Iowa requires businesses to report local option sales tax (LOST) as well. This means you must report all your sales in each county, city, or other local jurisdiction in Iowa where a local option sales tax is in effect.
• Bank Account and Routing Number – Select which bank account you want to use for paying the due taxes in your report. Prepare your bank details and routing number ahead of time.
• Filing Frequency Schedule – The Iowa DOR assigns a specific due date for every registered business based on sales tax liability. To find out your designated schedule, you can also check your registration paperwork or your GovConnectIowa account.

Step-by-Step: How to File Iowa Sales Tax Online

The online filing process is a logical progression of data entry and verification. While the exact screen layouts may eventually evolve with new e-filing platforms, the core workflow remains constant.

Step 1. Go to the state sales tax portal website – GovConnectIowa

Step 2. Enter your Account Credentials: Log in using your username and password. Check your shared email/phone number and input OTP, when applicable.

Step 3. Prepare your Ecommerce Sales Tax Data (e.g., Taxes Report from Shopify). Step 4. Click “File, Amend, or View Returns” Step 5. Click “File Now” adjacent to the period you are filing a return for. Step 6. Answer the prompt “Do You Have Tax to Report This Period?”

• Select option 1 if you have any sales tax to be reported, then click Next.
• Select option 2 if you want to file a zero-return and then click Next.

Step 7. Continue filling out each prompt, select the applicable options, and then click Next Step 8. Enter your gross sales based on your Ecommerce Sales Tax Report. After that, click Next Step 9. Input any applicable exemptions, then click Next. Step 10. Add the total use tax, or tick the check box if you don’t have any use tax to report Step 11. Input local sales records (LOST) made for each county Step 12. Enter any prior period payments Step 13. Review the balance summary and then click Next Step 14. Choose your payment option Step 15. Enter your bank information and schedule when the payment can be withdrawn. After that, click Next Step 16. Enter the account password and then click the Submit button Step 17. Save the confirmation in your preferred location for recordkeeping purposes. Keeping online records using Google Drive is a common option.

Helpful tip: If the filing process is interrupted by internet issues, website downtime, or other disruptions. You can always click on “Save and Submit Later” to avoid losing your progress.

NOTE: If you’re stuck or need more assistance, you can watch Iowa DOR’s official video instructions.

Due Dates

In Iowa, there are 2 filing frequencies for filing sales tax returns. Your schedule depends on your business’s sales tax liability each year. You can also check your GovConnectIowa account to see your filing schedules.

FREQUENCY	LIABILITY	REQUIREMENTS	DUE DATE
Monthly	Annual sales tax collection is $1200 or more	Returns must be filed and paid electronically	Due on or before the last day of the following month
Quarterly	Annual sales tax collection is less than $1200	Filing and paying electronically is optional. Paper filing is allowed.	Due on or before January 31 each calendar year

Seasonal Filing: The “Seasonal” filing frequency has been eliminated. Businesses that previously filed on a seasonal basis will now be assigned either a monthly or annual filing frequency based on their sales tax liability.

The statement about monthly or annual filers needing to cancel their current permits to switch to a seasonal filing is no longer applicable. The Iowa Department of Revenue determines and may change a business’s filing frequency based on its actual tax liability.

NOTE: If the last day of the month falls on a weekend or a legal holiday, the due date is moved to the following business day.

Timely Filing Discount

Some states give businesses a discount for collecting, filing, and remitting sales tax on time. Currently, Iowa does not offer any timely filing discount. 

Filing Amended Returns

If you wish to make changes to your previously submitted Iowa sales tax returns, follow these steps.

• Step 1: Log in to your GovConnectIowa. Similar to filing your return, you must use the state’s official website.
• Step 2: Select “File, Amend, or View Returns.” You may find this option under the “Accounts Tab.”
• Step 3: Find the return you wish to amend. Click on “View or Amend Return” after finding the return you want to amend.
• Step 4: Click “Amend” to proceed. You must complete the prompts and ensure all details are correct.
• Step 5: Review all information before submitting your amended return. Once done, click on submit.

NOTE: This method only applies to returns filed online. If you previously filed by paper, you cannot amend your return online.

Refunds

In case you overpaid your taxes, the Iowa DOR may automatically issue you a refund or give you credits. If no refund is sent, here’s how you can request a sales tax refund from the Iowa DOR.

• Download the Form IA 843 – Claim for Refund – Fill in the required fields. Under the “Reason” for claiming a refund, you can write and explain your request in the “Other” section.
  You can write the specific reason for your refund, and if applicable, reference the relevant Iowa Code section or rule.
• Prepare supporting documents – Gather all relevant details involving your refund claim. This may help speed up the process of reviewing your refund claim.
• Submit the form – Once you’re done filling out the form, you can either submit it electronically via your GovConnectIowa account’s “Additional Services” tab by selecting “Submit an IA 843 Refund Return” or mail it to:
  Alcohol & Tax Compliance Division, Iowa Department of Revenue, PO Box 10456, Des Moines IA 50306-0456
• Refund Approval – After submitting your claim, it may either be denied or accepted by the Iowa DOR. If a refund is denied, you have the right to appeal the denial in accordance with Iowa Rule 701—7.9(17A).
  This process may take longer, and the Iowa DOR may request more information to accept your refund claim.

NOTE: You can only claim a refund until the later of 3 years from the date the return was filed or one year from the date the tax was paid.

Filing Zero Returns in Iowa

The Iowa DOR requires you to file a return even if you have no taxable sales or purchases to report. To file a zero return in Iowa, you can follow the same process as filing a standard sales tax return.

When completing the prompts, you can choose the “I do not have tax to report. I want to file a zero return” option.

In the fields asking for your data, you may write “zero” (0). This informs the Iowa DOR that you’re filing a zero return.

Other Filing Methods in Iowa

If you’re having difficulties filing your Iowa sales tax return online, you can try other options.

• File with TaxHero – Let expert accountants in TaxHero prepare your sales tax returns for you. We’ll take everything off your hands so that you can spend your time more efficiently managing your business.
• File by Mail – Only annual filers are generally allowed to file returns by mail. Monthly filers are required to file and pay electronically as mandated in the Iowa Administrative Code r. 701-202.1.
  In case you can’t file electronically, you can request permission from the Iowa DOR’s director to allow paper filing. Write a detailed letter and provide proof validating your request. Once done, you must mail it to the following address:
  ATTN: Director of Iowa Department of Revenue, Iowa Department of Revenue, PO Box 10456, Des Moines IA 50306-0456

NOTE: If filing on paper, the Iowa DOR accepts the postmark date as your filing date. Ensure you have your paper return postmarked on or before your filing schedule’s due date to avoid late filing penalties.

Learn more about Iowa’s sales tax filing regulations by reading the Iowa Administrative Code.

Let TaxHero Manage Your Iowa Sales Tax Returns

TaxHero doesn’t just handle your Iowa sales tax return; we manage filings across every state where your business has nexus, ensuring each return is filed accurately and on time at the frequency required.

This means you stay compliant nationwide without having to track multiple rules and deadlines yourself.

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