The IRS’s DOMA Guidance: How are Iowa Returns Affected?

The IRS released tax guidance for couples in same-sex marriages this afternoon. A common question is how this will affect Iowa tax returns.

I talked to the Iowa Department of Revenue this afternoon, and they told me that nothing should change because couples in same-sex marriages in Iowa have always been required to file Iowa taxes as married and recalculate their federal tax situation as if they were married in order to complete the Iowa return.

If by chance a couple does need to amend their Iowa return, Iowa follows the same statute of limitations as for federal returns, so couples could amend as far back as 2010.

For couples who amend federal returns to claim additional refunds: remember that Iowa will tax your federal refunds, so you’ll have to claim those refunds as income in the year in which the refund is received. So if you amend your federal returns for 2010-2012 and you get your refunds in 2013, you’ll have to claim the refunds from all 3 years on your 2013 Iowa return.