February 2025

Stay Off the No Tax on Tips Bandwagon

Stay Off the No Tax on Tips Bandwagon

February 25, 2025by John Hendrickson and Tom Sands

The popularity of President Donald Trump is influencing state policy, as legislators and governors across the nation seek to replicate the Make America Great Again agenda. Some of the most prevalent fiscal initiatives include state-level versions of the Department of Government Efficiency (DOGE) and adopting tax proposals, such as “no tax on tips” and “no tax on overtime pay.” Currently, three "no...

Iowa Must Increase Transparency on Federal Funds

Iowa Must Increase Transparency on Federal Funds

February 24, 2025by ITR Foundation

Subheading 30-Second Summary: Iowa’s reliance on federal funds significantly impacts the state’s fiscal flexibility, often imposing restrictions and obligations that limit its ability to implement independent tax and budget policies. To address this challenge, Iowa must adopt two key legislative changes: creating a federal funds inventory and requiring agency guidance disclosure&nbs...

Just Say No to Assessment Limits

Just Say No to Assessment Limits

February 24, 2025by John Hendrickson and Tom Sands

Future property tax reform must focus on controlling local government spending. A levy or budget limit is the best path forward. By capping the amount of property tax revenue localities can collect, they will be forced to manage spending more responsibly. At its core, taxation is driven by government spending—and if taxpayers want lower taxes, government at all levels must spend less.

March 4th, 2025, Special Election: What’s on the Ballot?

March 4th, 2025, Special Election: What’s on the Ballot?

February 24, 2025by Sarah Curry, DBA

On March 4, voters in 46 Iowa counties will go to the polls.  In front of them there will be measures from 25 school boards, five city councils, and three county boards. Iowa law allows local governments to propose public measures for taxpayer approval in special elections, typically held in March and September.

Local Governments Return to Voters for Tax Increases

Local Governments Return to Voters for Tax Increases

February 24, 2025by Sarah Curry, DBA

As local governments across Iowa prepare for upcoming special elections, many are once again asking voters to approve tax measures—some of which have been rejected in previous elections. With school districts, cities, and counties revisiting these proposals, taxpayers must stay informed about how these decisions could impact their financial future.

A Better Path Forward – February 2025

A Better Path Forward – February 2025

February 17, 2025by ITR Foundation

Iowans know the value of hard work, fiscal responsibility, and personal freedom. Yet, as property tax burdens rise and government spending expands, our state faces challenges that demand bold, conservative solutions. In this issue, we examine Iowa’s property tax problem and show how some local governments continue to raise taxes despite new restrictions. We also explore the economic impact of thes...

Justice Should Be Blind—Not Biased Toward Bureaucrats

Justice Should Be Blind—Not Biased Toward Bureaucrats

February 17, 2025by Alan Ostergren

If you go to the Iowa Judicial Branch’s website, you will see photos that accompany the various announcements of what is going on with Iowa’s court systems. One of the photos depicts a statue of Lady Justice-the allegorical personification of the administration of justice. She is depicted blindfolded and holding a balanced set of scales. The imagery is powerful: Justice is supposed to be delivere...

Iowa’s Franchise Fees: An Overview

Iowa’s Franchise Fees: An Overview

February 17, 2025by Sarah Curry, DBA

Many cities are not content with the revenue provided to them by property taxes, sales taxes, and other revenue sources.  As a result, they are seeking more dollars from other sources. A franchise fee in Iowa is a charge that cities can impose on providers of utilities and other municipal services (such as gas, electricity, water, cable, and mass transit) for using public property to deliver them....

Tax incentives vs. tax freedom: Which spurs economic growth?

Tax incentives vs. tax freedom: Which spurs economic growth?

February 17, 2025by John Hendrickson and Meg Tuszynski

Incentives may lure developers and data centers, but Iowa’s high property tax situation should be a “fire bell in the night” for local government officials. High property taxes will deter economic growth. They will discourage new residents, entrepreneurship, and force people to leave.

Tax incentives vs. tax freedom: Which spurs economic growth?

Tax incentives vs. tax freedom: Which spurs economic growth?

February 17, 2025by John Hendrickson and Meg Tuszynski

Incentives may lure developers and data centers, but Iowa’s high property tax situation should be a “fire bell in the night” for local government officials. High property taxes will deter economic growth. They will discourage new residents, entrepreneurship, and force people to leave.

Iowa Shouldn’t Rush Tax Changes Amid Federal Uncertainty

Iowa Shouldn’t Rush Tax Changes Amid Federal Uncertainty

February 12, 2025by Tom Sands and John Hendrickson

If Iowa changes its tax code before Congress decides on federal tax rules, the state risks having unnecessary, redundant, or conflicting policies that could create complications and unintended consequences.

Time to Advance Constitutional Protections for Taxpayers

Time to Advance Constitutional Protections for Taxpayers

February 11, 2025by John Hendrickson and Tom Sands

Embedding these protections will safeguard taxpayers from pressures by special interests demanding increased spending. The flat tax promotes economic growth, and the two-thirds requirement ensures fiscal restraint while maintaining Iowa’s competitive edge among states.

Herbert Hoover: America’s Forgotten Conservative

Herbert Hoover: America’s Forgotten Conservative

February 11, 2025by John Hendrickson

Jared Cohen in Life After Power: Seven Presidents and their Search for Purpose Beyond the White House, credits Herbert Hoover with the rise of the modern American conservative movement.[1] Cohen’s argument may be surprising to many because Hoover is traditionally viewed as a progressive. However, this was not always the case and not only was Hoover a conservative in terms […]

The Mythical Property Tax Cap

The Mythical Property Tax Cap

February 6, 2025by John Hendrickson and Tom Sands

The real cause of Iowa’s high property taxes isn’t rising assessments—it’s unchecked local government spending. HF 718 was a start, but stronger reforms are needed to protect taxpayers and ensure sustainable growth.

State Income Tax Reform Continues in 2025

State Income Tax Reform Continues in 2025

February 6, 2025by John Hendrickson

High inflation, national economic uncertainty, and slowing state revenue might lead some observers to assume state income tax reform will slow down. However, as legislatures reconvene across the nation, several have begun consideration of significant income tax reforms.