A big year for Iowa taxpayers
Iowa taxpayers will start seeing income tax relief next week as a result of the historic tax reform the Legislature passed and Gov. Kim Reynolds signed into law in 2022.
Iowa taxpayers will start seeing income tax relief next week as a result of the historic tax reform the Legislature passed and Gov. Kim Reynolds signed into law in 2022.
Iowa has too much government. Citizens have benefitted from conservative leadership at the state level that has delivered multiple rounds of tax cuts and eased the regulatory burden on businesses and employees, but big-government objectives like property tax growth are on autopilot with no off ramp in sight. Reining in the growth of local government requires solutions to numerous issues. Iowans f...
2023 Will Be a Big Year for Iowa Taxpayers Iowa taxpayers will start seeing income tax relief in just a few weeks as a result of the historic tax reform the legislature passed and Governor Kim Reynolds signed into law this year. At this moment, Iowa has a progressive income tax, with nine brackets topping out at 8.53 percent. In […]
With a healthy state budget, lower income and corporate tax rates, the elimination of retirement income tax, and the legislature eyeing property tax reform, 2023 should be a great year for taxpayers. Iowa taxpayers will start seeing income tax relief in just a few weeks as a result of the historic tax reform the legislature passed and Governor Kim Reynolds […]
As long as spending is under control, the state will continue to be in a strong fiscal position to provide the core government services Iowans expect while continuing to lower taxes and spur economic growth. The State Revenue Estimating Conference (REC) met on December 14, 2022, to evaluate the current (FY23) and next (FY24) fiscal years. December REC meetings are […]
Direct notification is an aggressive transparency measure forcing local governments to be honest with taxpayers about how their property tax bills will be affected by potential spending increases. Iowans are frustrated with high property taxes, but very few understand the complexity of the system. In 2019, the property tax transparency and accountability law required each city and county to hold a...
All properties should be assessed equally using the same standards to ensure Iowans are not paying more than their fair share in property taxes. Iowa has six different classifications of real property used for property tax purposes: agricultural, residential, commercial, industrial, public utility, and railroad. State law requires property subject to taxation to be assessed at 100% of its fair mar...
Having multiple property tax levies allows local governments to shift spending outside the regular general levy driving up the overall cost of government on taxpayers. BACKGROUND No municipality in the State of Iowa may levy a tax unless it is specifically authorized to do so by state law. Over time, the legislature has approved multiple different property tax levies. For […]
Financial questions that directly affect property taxes and determine some of the most-important decisions affecting local property taxpayers should be held during general November elections when voter turnout is highest. The Iowa Constitution mandates that the general election be held on the first Tuesday after the first Monday in November of each even-numbered year. This includes county officers...
All counties should have the same uniform presentation that contains the amount owed, compared with the previous year, and a list of all levies, broken down by the relevant authorities to provide taxpayers with a complete picture of their tax bill. The Iowa State County Treasurer’s Association provides property tax information for all 99 counties. Taxpayers can simply click on their counties and e...
Taxpayer dollars should be used to advance the public good, not to bankroll lobbyists who advocate against taxpayers’ interests. Taxpayer-funded lobbying is when political subdivisions such as counties, cities and school districts, pay lobbyists with money they have received from taxes. This can include membership fees in government sector lobbying associations like the Iowa League of Cities, Iowa...
Taxpayer dollars should be used to advance the public good, not to bankroll lobbyists who advocate against taxpayers’ interests. Taxpayer-funded lobbying is when political subdivisions such as counties, cities and school districts, pay lobbyists with money they have received from taxes. This can include membership fees in government sector lobbying associations like the Iowa League of Cities, Iowa...
Local governments may be tying up property tax dollars with needless incentives while further saddling residents and businesses with growing tax burdens. Urban renewal programs shouldn’t be utilized in areas that are already growing or on projects that would occur without a subsidy anyway. Urban renewal areas have existed in Iowa since 1957, and the designation can allow governments to finance ...
When rate limits apply selectively, taxing authorities can shift responsibilities to those without them. Over time, local government spending goes up, and the intent of the rate limit is negated. Local taxing entities have layered multiple tax levies on each property in addition to general taxation, such as levies dedicated to public libraries, emergency management, debt service, cemeteries, and f...
As of 2021, Iowa’s local governments were carrying a total of $13.8 billion in outstanding debt, of which cities held $7.1 billion, schools $4.9 billion, and counties $1.1 billion. Local taxing jurisdictions should also not be allowed to incur large amounts of debt without a vote of the people. While borrowing small sums may be necessary for emergencies or other unique situations, local boards or ...
Local Government Spending Limitations Spending limits are similar to speed limits in a school zone, both are designed to protect. In the case of local governments, they apply the brakes to slow spending down. YTD Revenue Still Tracking Closely With FY22 The most recent Revenue Estimating Conference prediction is aligning with actual results. January results will provide an even better […]
Property tax rates are important but advocates often forget that government spending causes higher tax bills. Local governments may even claim they have reduced rates, leaving taxpayers to wonder why their tax bills are bigger. Tax rates only tell one side of the story and can often be misleading. Focusing on revenue controls spending and does not allow local governments to take advantage of windf...
The most recent Revenue Estimating Conference prediction is aligning with actual results. January results will provide an even better understanding of revenue trends. Iowa’s revenue report for November has been released and the data revealed net General Fund revenue for the month was $371.9 million (-38.8%) below the November 2021 net revenue level. When broken down by the three […]
Spending limits are similar to speed limits in a school zone, both are designed to protect. In the case of local governments, they apply the brakes to slow spending down. BACKGROUND Over the past 20 years, the average annual rate of growth for property tax revenue has been: 4.1 percent for cities, 4.2 percent for county general services, and 3.7 […]
Constraining the size and scope of the federal government is an issue that should transcend politics or partisanship. State Attorneys General have a vital role in protecting states from regulatory and administrative overreach. Iowans elected a new Attorney General to represent them in the 2022 elections. Forty-year incumbent Tom Miller was defeated by Republican Brenna Bird. Bird, who lost to [&he...