The Iowa Department of Revenue (IDOR) has issued a memorandum dealing with several questions about Iowa-sourced income. In the memo, IDOR noted that a business conducted in Iowa is subject to Iowa income tax even though the person conducting the business lives out-of-state. Also, IDOR reasoned that a real estate commission for the sale of Iowa property that is earned by a real estate agent who was physically present in Iowa when the sale was made is Iowa-sourced income. Likewise, income earned from Iowa clients by an out-of-state accountant for services performed outside of Iowa is not Iowa-sourced income. IDOR also noted that an out-of-state broker with agents in Iowa that sells Iowa real estate has Iowa sourced-income on the commissions. Iowa Department of Revenue (Memo. 2008-19357)(Jun. 30, 2008)