Amendment One is built on a simple principle: Every Iowan’s income deserves the same protection from future tax increases. The amendment, which will appear on Iowa’s November 3 ballot, would require a two-thirds vote in both the Iowa House and Senate to increase an individual or corporate income-tax rate or create a new tax measured by individual or corporate income.
The proposed 2% caps on property tax growth are described as rigid limits, but that ignores important details. Each reform proposal includes allowances such as new construction, inflation adjustments, or debt service exemptions, meaning property tax revenue would still grow, just at a slower and more sustainable pace. Property taxes are only one part of local government funding. Cities and counties also receive revenue from sales taxes, franchise fees, gaming taxes, and state and federal grants. These are taxpayer dollars that continue to support core services like public safety and infrastructure. Property tax reform would not shrink local budgets; it would simply slow spending growth. If revenues continue rising but officials claim essential services must be cut, the real issue may be spending priorities, not the need for more taxation.
What is often labeled “de-banking” is largely the result of an outdated and rigid federal regulatory framework rooted in the 1970s Bank Secrecy Act that incentivizes banks to over-comply to avoid severe penalties. Political signaling by regulators, combined with strict confidentiality rules around Suspicious Activity Reports, leaves banks cautious and opaque, fueling public frustration and perceptions of ideological targeting. Meaningful reform must occur at the federal level by modernizing compliance standards and disclosure rules; state-by-state approaches risk creating confusion without fixing the underlying problem.
Affordability challenges stem from rising local government spending, not an elusive formula of tax incentives and abatements, and property taxes remain high because spending continues to outpace taxpayers’ ability to pay. Targeted tax abatements and business incentives have failed to deliver broad affordability, instead shifting tax burdens onto other residents while benefiting a narrow group of property owners or employers, often for a limited amount of time. True affordability requires fiscal restraint and broad-based tax relief, not expanded incentive programs or policy tweaks that avoid confronting the underlying spending problem.
Across Iowa, local officials are asking voters to approve more than $1 billion in new bond debt this November — often with the soothing assurance that these projects “won’t raise your taxes.” But that promise deserves scrutiny. It’s like paying off your car loan, immediately financing the purchase of a new one, and insisting it doesn’t cost more — just because the monthly payment stayed the same. What about the savings you could have enjoyed if you hadn’t taken on new debt at all?
Across Iowa, local officials are asking voters to approve more than $1 billion in new bond debt this November — often with the soothing assurance that these projects “won’t raise your taxes.” But that promise deserves scrutiny. It’s like paying off your car loan, immediately financing the purchase of a new one, and insisting it doesn’t cost more — just because the monthly payment stayed the same. What about the savings you could have enjoyed if you hadn’t taken on new debt at all?
Iowans have long despised property taxes, and they aren’t going to develop any warm and fuzzy feelings about them any time soon. Local governments are collectively cranking up their property tax collections by more than six percent as cities (+6.6%), counties (+7.6%), and school districts (+5.4%).
Believe it or not, the focus in the Iowa presidential caucus is starting to shift from the personalities of the candidates to their actual policies. August delivered a plethora of campaign swings throughout Iowa including the State Fair, which provided a platform for candidates to discuss issues. The first Republican debate, although light on tax policy, allowed the candidates to start engaging on a number of issues. For Iowans, there is an important intersection of tax policy we should be paying closer attention to: federal estate tax laws and the capital gains tax. More specifically, Iowans must be wary of any changes to how the cost basis of inherited assets is calculated or our farm families could end up paying a steep price.
This article was published in the Waterloo-Cedar Falls Courier. Despite numerous changes, lasting relief has not been delivered and Iowa currently has the 10th-highest property tax burden in the nation. If you have lived in Iowa for any length of time, then you know property taxes are, without a doubt, the most despised tax in the state. That’s why numerous […]
President Biden’s claim of lowering our everyday costs doesn’t hold up when measured against prices at the pump; a gallon of gas now costs nearly 80% more than it did two years ago. President Joe Biden took the stage at a recent Democratic National Committee Event to proclaim “Democrats are lowering your everyday costs like prescription drugs, healthcare premiums, energy bills, and gas […]
After multiple rounds of negotiations, the United States Senate recently passed the Inflation Reduction Act (IRA) by a strictly partisan margin of 51-50, with Vice President Kamala Harris casting the deciding vote in favor of the bill. As the name implies, the purported aim of this effort, which the House of Representatives will soon consider, is to slow down the historic levels of inflation America is experiencing. Only in Washington, D.C. could someone refer to a $750 billion bill as “anti-inflationary” with a straight face.
Property taxes are despised. Believe me, I and my organization hear from Iowans of all political stripes about the giant bite property taxes take from family budgets. Now inflation is adding pressure by pushing up the price of gas and groceries, not to mention rising real estate assessments and tax bills.
Let’s be honest, big government is big bureaucracy, and common sense tells us big bureaucracy is ineffective. That’s why ITR Foundation works to:
By applying the principles of limited government, free enterprise, and the rule of law to public policy, we can ensure all Iowans will have the opportunity to succeed.
ITR Foundation set the policy groundwork for many recent taxpayer victories in Iowa: