Not all Iowans are Taxed the Same

Iowans Deserve Predictable Taxes Wherever They ROAM Iowa shares its border with six other states, and while many Iowans live and work in the Hawkeye state, there are a number of Iowans who work elsewhere. This results in not all Iowans being taxed the same. Depending on where they live and work, the state tax liability for Iowans can vary […]

Iowa’s Next  Tax Reform Opportunity

This article was published in National Review. Iowa policymakers have an opportunity to allow taxpayers to keep more of their hard-earned income, make the state more competitive, and provide protection that will benefit taxpayers for generations. In 2022, Iowa confirmed its position as a leader in the state flat-tax revolution by phasing out the nine-bracket progressive income tax and replacing it with […]

Iowa’s Historic Tax Reform Opportunity

This article was published in the Cedar Rapids Gazette. The House and Senate plan creates a mechanism to eventually eliminate the income tax. In 2022, the CATO Institute’s Fiscal Policy Report Card on America’s Governors ranked Iowa Governor Kim Reynolds the most fiscally conservative governor in the nation. Since 2018, Governor Reynolds and the legislature have placed a priority on […]

House and Senate Release Joint Plan for Tax Cuts, Future Elimination

The Iowa legislature is poised to deliver the benefits of conservative budgeting and pro-growth policies to taxpayers in our state. Heading into the legislative session Governor Kim Reynolds and legislative leaders stated that not only would further income tax reform be a priority, but an opportunity existed to accelerate planned income tax rate reductions. Under current law the income tax rate […]

Governor Proposes New Tax Cuts; Legislators Signal Support for Pro-Growth Policies

Iowa’s income tax would drop to 3.5 percent next year under the governor’s proposal.  In her Condition of the State address, Governor Kim Reynolds outlined a pro-growth policy agenda, including a new round of income tax cuts. Gov. Reynolds stated, “ the condition of our state is truly strong.” The reason for this is the fiscally conservative policies Iowa’s elected officials have been […]

Accelerate, Lower, and Eliminate: A Pro-Growth Blueprint to Make Iowa’s Tax Code More Competitive

Additional income tax cuts will generate hundreds of millions of dollars per year in economic growth for Iowa. After three significant rounds of tax cuts since 2018, Iowa firmly established itself as the national leader in state-based tax reform. Now, the state government has a real possibility of eliminating the income tax, making Iowa the first state to do so. […]

Session Preview: Constitutional Amendments

Diverting Taxpayer Relief Fund dollars to property tax relief would simply be another instance of the state subsidizing local government spending growth. During the 2023 legislative session, the Iowa Legislature began to consider two important constitutional amendments that would provide protection for Iowa taxpayers. If lawmakers are interested in continuing to stand up for the taxpayer, they should again contemplate […]

Kim Reynolds is correct to prioritize more income tax reform in 2024

This article was published in the Des Moines Register.

Once again, one of Gov. Kim Reynolds top priorities for the 2024 legislative session is income tax reform. A champion of fiscal responsibility, the governor knows restraining spending and returning tax dollars to the hard-working Iowans who paid them is the best path to economic growth. Once one the of the highest-income-tax states in the nation, Iowa in 2022 passed the most comprehensive tax reform in the United States.

Session Preview: Income Taxes

Policymakers could seize the opportunity to place Iowa’s income tax on a path toward elimination. Iowa is in a strong position to enact even further income tax reforms in 2024, and it must. As more states cut income tax rates, Iowa cannot become complacent. The competition among the states for businesses, jobs, and people is fierce. This is especially true […]

2024 Legislative Session Preview

Personal income taxes will not be the only focus in the upcoming legislative session. Iowa’s fiscal conservatism will also touch on corporate taxes and property taxes. Iowa is currently in a robust financial position, a testament to a series of strategic policies and legislative changes that have shaped its economic landscape. As the 2024 legislative session approaches, the state’s financial […]

Iowa vs. Minnesota: The Future of State Fiscal Policy

This article was published in Real Clear Policy and Nation Review. When people vote with their feet, they prefer lower taxes and the slim, trim state government Governor Reynolds offers in Iowa.    “A tax-cutting wave is sweeping over America’s states,” The Economist claims in a recent feature, and Iowa, it argues, has “emerged as America’s tax-cutting champion, a paragon […]

Pro-Growth Tax Reform Improves Iowa’s Tax Competitiveness

The Tax Foundation’s ranking, in combination with continuing surpluses, proves that fiscal conservatism is working in Iowa. Tax rates matter. They are a major factor determining the economic well-being of a state in both the money they leave in the economy and the impressions decision-makers have when comparing states. The Tax Foundation recently released its annual 2024 State Business Tax […]

Oklahoma May Eliminate the Income Tax

Oklahoma wants to follow the Iowa playbook: controlling government spending is vital to a successful tax reform policy. Oklahoma Governor Kevin Stitt has called a special legislative session, convening on October 3, 2023, for the purpose of income tax reduction and increased transparency within the state budget. The governor is not merely pushing for income tax relief but is asking the legislature […]

Governor Reynolds Wants More Tax Cuts

Iowa’s Chief Executive views the budget surplus as an over collection of taxes. In announcing Iowa’s $1.83 billion surplus, Governor Kim Reynolds stated her desire to continue cutting taxes in 2024, “Some see a surplus as government not spending enough, but I view it as an over collection from the hard-working men and women of Iowa… I look forward to cutting […]

Iowa’s Next Step: Eliminate the Income Tax

In 2022, Iowa led what has been called a state-level “flat-tax revolution.” The last few years have been historic for state-based tax reform, with the Tax Foundation reporting that 43 states passed some form of tax reform in 2021 or 2022 and in 2023 nearly a dozen states continued the trend. Now, Iowa has the opportunity to build on its previous good work in this area by being the first state in the nation to eliminate its income tax.

Iowa’s Historic Chance to Eliminate Its Income Tax

This article was published in the National Review. The Hawkeye State must keep leading the way with pro-growth, pro-family economic policies. In 2022, Iowa led what has been called a state-level “flat-tax revolution.” The last few years have been historic for state-based tax reform, with the Tax Foundation reporting that 43 states passed some form of tax reform in 2021 or 2022. In 2023, […]

Iowans Feeling the Squeeze

The recent ITR Foundation poll shows Iowans are concerned about their own financial stability and the role inflation and government tax-and-spend policies have on their budget. Iowans are increasingly concerned about the economy, with high inflation and national economic uncertainty contributing to their anxiety. A recent poll conducted by ITR Foundation found that 74.4 percent of Iowans believe the nation is heading […]

President Biden’s Budget Threatens Main Street

Iowa taxpayers and small businesses would be better served if federal policymakers made the TCJA permanent, pushed back on proposed tax increases, and fought inflation by cutting government spending. This article was published in The Cedar Rapids Gazette. The Tax Cuts and Jobs Act (TCJA) brought historic tax relief to taxpayers. Taxpayers and small business owners across Iowa benefited greatly […]

Tax Rates Never Sleep

As Iowans wrapped up their New Year’s celebrations in January, they were greeted by a new tax code with lower income tax rates for families and businesses. With even more tax cuts scheduled, and a complete elimination being considered, Iowa’s lawmakers are steadily improving our state’s tax climate. When considering the top corporate income tax rate, Iowa has moved from the highest rate in the country (50th) at 12.00 percent in 2018, to a better, but still high rate of 8.40 percent (41st) in 2023. Similarly, Iowa’s individual income tax rate has moved from 8.98 percent (46th) in 2018, to 6.00 percent (33rd) this year.