March 2025

Budget Statements Must be Improved: If Minnesota Can Do It, Iowa Can Too

Budget Statements Must be Improved: If Minnesota Can Do It, Iowa Can Too

March 28, 2025by John Hendrickson and Tom Sands

Most Iowans have received their property tax statements in the mail. Many local government officials across Iowa are complaining that these statements are inaccurate and provide taxpayers with misleading information. The reason for this is that each statement contains a hypothetical example of a residential home worth $100,000, along with a 10 percent assessment increase, which is supposed to give...

Liberty or Bureaucracy? The CFPB’s Overreach on Overdraft Fees

Liberty or Bureaucracy? The CFPB’s Overreach on Overdraft Fees

March 28, 2025by ITR Foundation

As Iowans continue to benefit from sound fiscal policies like accelerated tax cuts and conservative budgeting, we cannot lose sight of what’s happening in Washington. In a troubling—but completely predictable—display of regulatory overreach, the Consumer Financial Protection Bureau (CFPB) has finalized a rule that threatens to remove an important financial tool from low-income Americans while expa...

Taxpayer Frustration Fuels Push to Rein in Local Government Budgets

Taxpayer Frustration Fuels Push to Rein in Local Government Budgets

March 25, 2025by John Hendrickson

“Spending is the problem. Outrageous property taxes are the symptom,” stated a letter to the editor in The Wall Street Journal. This letter to the editor correctly spending as the problem that is causing high property taxes. Too often the debate surrounding property tax reform tends to focus on property valuations, otherwise known as assessments or appraisals. Although there may be reforms to the ...

More Ted, Less Taxes: A Lesson for State and Local Policymakers

More Ted, Less Taxes: A Lesson for State and Local Policymakers

March 24, 2025by John Hendrickson

The principles of lowering tax rates, reducing spending, reducing debt, and making state government more efficient are all policies that lead to making a state more competitive. 30-Second Summary: In presidential history, scholars place a higher value on American presidents who took an expansive view of their executive powers and increased the size and scope of government. As an example, […...

Minnesota’s Budget Disaster Proves Walz Has No Business Advising Iowa

Minnesota’s Budget Disaster Proves Walz Has No Business Advising Iowa

March 23, 2025by John Hendrickson

Does anyone see the irony of Minnesota Governor Tim Walz dropping into Iowa last week to, in his words,  answer the primal scream coming from Americans?  In case anyone has a short memory, it’s worth restating that the Presidential ticket of Kamala Harris and Tim Walz lost by double digits to Donald Trump and J.D. Vance.  And three months into President Trump’s second term, support for his well-pu...

A Red State Tax Story

A Red State Tax Story

March 22, 2025by Justin Owen

Tennessee and Iowa have quite a bit in common. Both are considered “red states,” with President Trump having won both states handily. Both have strong rural and agricultural ties. And both have generally competitive tax policies, albeit with a few outliers. Both Tennessee and Iowa have recently pursued significant tax reforms to become even more taxpayer-friendly. Iowa has lowered its income tax ...

Reynolds Touts Smaller Government, Lower Taxes to Congress

Reynolds Touts Smaller Government, Lower Taxes to Congress

March 21, 2025by John Hendrickson

“I’ll get right to the point: Iowa was doing DOGE (Department of Government Efficiency) before DOGE was a thing,” stated Governor Kim Reynolds in her testimony before the United States House Committee on Oversight and Government Reform. Governor Reynolds was invited to provide testimony because Iowa is an example of a state successfully implementing fiscally conservative policies. Iowa is often o...

DOGE Exposes Waste and Constitutional Drift

DOGE Exposes Waste and Constitutional Drift

March 20, 2025by John Hendrickson and Lawrence W. Reed

President Donald Trump in his first address to Congress highlighted some of the wasteful spending targeted by the Department of Government Efficiency. DOGE under Elon Musk is tasked with eliminating waste, ending fraud, identifying harmful regulations, and holding the bureaucracy accountable. With a $36 trillion national debt and continuous budget deficits, spending is clearly out-of-control, but...

Major Property Tax Bill Introduced

Major Property Tax Bill Introduced

March 11, 2025by John Hendrickson

A majority of Iowans support property tax relief, despite opposition from many local government officials and special interests. A recent Iowans for Tax Relief Foundation poll found that over 66% of Iowans favor a 2% cap on city and county property tax collections. Last week, Senate Ways & Means Chair Dan Dawson and House Ways & Means Chair Bobby Kaufmann introduced a joint property tax reform me...

Congress Remains Divided Over How to Renew Trump Tax Cuts

Congress Remains Divided Over How to Renew Trump Tax Cuts

March 11, 2025by ITR Foundation

As Congress works to renew the 2017 Tax Cuts and Jobs Act (TCJA) before it expires at the end of 2025, negotiations remain complicated by disagreements over spending cuts, budget scoring, and whether to package tax cuts with other policy priorities. Below is a summary of where things currently stand.

A Ranking Iowa Does Not Want to Brag About

A Ranking Iowa Does Not Want to Brag About

March 8, 2025by ITR Foundation

The Tax Foundation recently released their updated property tax rankings and Iowa continues to be ranked the 10th highest in the nation. This is not a ranking Iowa should be proud of, and this should motivate legislators to enact meaningful property tax reform that will not only provide tax relief but also improve our standing.

The Emerging Fiscal Year 2026 Budget

The Emerging Fiscal Year 2026 Budget

March 7, 2025by John Hendrickson and Tom Sands

As the legislative session progresses, attention will soon turn to appropriations and tax policy. A key factor shaping these discussions will be determined on Thursday, March 13, when the Revenue Estimating Conference (REC) updates Iowa’s revenue forecast. By law, the legislature must use the lower of the March or December estimates as the basis for the Fiscal Year 2026 budget.

Cutting Ties with Costly Federal Dollars is Path to Lower Taxes

Cutting Ties with Costly Federal Dollars is Path to Lower Taxes

March 4, 2025by Tom Sands

Iowa has made great strides in tax reform, but now that the income tax rate has been right-sized, the era of massive budget surpluses is likely over. Future tax cuts will require a disciplined approach to budgeting. One key strategy is reclaiming federalism by reducing Iowa’s reliance on federal funds, which often come with costly mandates and allow for little state control or input. This approach...

Higher Taxes Don’t Create Prosperity—They Drive It Away

Higher Taxes Don’t Create Prosperity—They Drive It Away

March 3, 2025by ITR Foundation

Local governments are warning that limiting property tax growth will hurt communities. They say higher property taxes are necessary for economic growth. We say hardworking families and businesses grow the economy—not rapidly expanding government budgets. If families and businesses have to tighten their belts in tough times, why shouldn’t local governments? Before you buy into the doom-and-gloom ab...