2020 Candidate Education Guide

Recently TEF Iowa polled Iowans to get their view on some key public policy issues. In this guide you will find not only how Iowans think about these issues, but also public policy solutions that align with the interest of Iowans. TEF Iowa has developed this guide as a resource to provide legislative candidates additional information on some of the […]

Tax Rates Are the Key to Economic Competitiveness

The American Legislative Exchange Council (ALEC) released the 13th edition of Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index. Rich States, Poor States, measures the competitiveness of each state in terms of economic outlook and performance. In the latest rankings, Iowa has moved from 29th to 25th in terms of economic performance, but in terms of economic outlook, Iowa […]

Tax Relief and Economic Growth

Iowa begrudgingly endures some of the nation’s highest personal and corporate income taxes. Those high taxes hamper economic growth and make our state less affordable for families and less competitive for businesses. Even after recent improvements, tax reform remains a high priority for the Hawkeye State.   So we applaud Governor Reynolds for proposing the Invest in Iowa Act and […]

High Corporate Tax Rates Slow Growth

Iowa has the highest corporate income tax rate in the country at 12 percent. That rate, combined with the federal corporate tax, totals 29.5 percent. As part of the 2018 comprehensive tax reform law, the legislature lowered the rate. In 2021, the top corporate tax rate will still have four brackets, but the top rate will fall from 12 percent […]

2020: A Year for Progress

A Legislative Year for Smaller Government and Smarter Solutions   Iowa is in an exciting place as we start a new decade of the 21st century. Iowa’s economy is strong and our state budget has an estimated $470 million budget surplus. This does not mean that we do not have policy problems, but we can ensure that all Iowans will […]

Tax Rates Matter

High Tax Rates Hurt Iowa’s Economic Growth and Productivity What could be done: Speed up planned rate reductions, continue working toward a top individual income tax rate of 4 percent, and cut the top corporate income tax rate to 5 percent.   While Iowa’s economy is doing well, when judged by the low unemployment rate, improvements can still be made […]

Releasing Iowa’s Economic Albatross

All indications, except for the precarious feel of the China trade war, seem to show that Iowa’s economy is doing well.  While we may be enjoying a temporary surge due to President Donald Trump’s economic policies, we must make decisions that grow and sustain our state for the long haul. Iowa competes with other states, both for jobs and people, […]

Iowa needs some (tax) climate change!

Iowa has one of the worst business tax climates in the country. The state cannot afford to wait for more tax relief.   In 2018, the Iowa legislature gave taxpayers the first significant income tax relief legislation in 20 years. However, the relief will be phased in over multiple years, and the income tax rate reduction is subject to a […]

Our Taxes Aren’t “Iowa Nice”

A businessman in Sioux City recently stated it very plainly to us:  “We have stores in seven states.  Iowa is more expensive for property taxes than any other.”   Iowans are, for the most part, hardworking, friendly, and willing to help a stranger in need. Many call this “Iowa nice.”  However, our state’s tax code has been ranked as one […]

Where’s Everyone Going?

In just one year, over 9,000 Iowans moved to Florida, Texas, and South Dakota ­– all states that do not have an income tax.   Since 1980, the nation’s population has grown by more than 40 percent, and Iowa’s population has only grown 7 percent. Tax rates have a direct impact on the population. States with lower tax rates have […]

Helping Iowa Grow

People vote with their feet. Iowa’s population and economic growth requires lowering income tax rates and controlling spending.   There is clear evidence states that reduce tax rates and control spending not only grow economically but attract new residents. Tax rates matter and the more a government taxes something the less you get. High taxes not only discourage investment, entrepreneurship, […]

Low Tax States Are Leading in Job Creation

States with lower tax rates are creating more jobs than states with higher tax rates. The economic principle holds true: the more you tax something, the less you get.   The Tax Cuts and Jobs Act has been a shot of adrenaline for job creation. This is especially true for states that have lower tax rates. Low tax states are […]

The Tax Cuts Are Working!

Unshackling the tax burden from Iowa small businesses does not just allow them to expand, but it also benefits their employees.   Lana Pol, owner of several businesses in Pella and Des Moines recently testified before the United States House of Representatives Committee on the Budget. Ms. Pol was representing the National Federation of Independent Business (NFIB) and she spoke […]

The More You Tax Something, The Less You Will Get

Iowa has many attractive qualities in making it a great place to live. If policymakers want to grow our population, the best way to encourage growth is by lowering tax rates so our state is more competitive.   Population trends show that states with low tax rates are gaining new residents, while an exodus is underway in high tax states. […]

Iowa’s Tax Burden

How does Iowa compare with the other 49 states and Washington, D.C.? The individual income tax rate, corporate income tax rate, sales tax rate all as of January 1, 2019, and property taxes paid as a percentage of owner-occupied housing value for CY 2016 are ranked from 1 to 51 with 1 being the lowest and 51 the highest. Individual […]

For Iowa to Lower Tax Rates, it Must Show Spending Restraint

How can Iowa make sure its recent tax reform is fully implemented, including the adoption of fewer and lower tax rates in 2023? The only proven way to lower tax rates is with spending restraint. Some of us in our personal lives have learned Dave Ramsey’s lesson that you cannot out-earn your own stupidity. No state can out-tax bad budgets. […]

The Historical Success Story of Tax Cuts

The passage of the Tax Cuts and Jobs Act, which is the most significant tax reform to occur in decades, is creating economic growth and opportunities for Americans. The tax cuts, along with President Donald Trump’s unshackling the economy from excessive regulations, is the cause of this economic renewal. The “new normal” economy of slow economic growth and high unemployment […]

Will Iowa Become a Pro-Growth State?

U.S. News & World Report recently ranked Iowa “best state in the nation when it comes to infrastructure, healthcare, opportunity, and education.” Although this ranking is something Iowa can be proud of it does not mean that improvements cannot be made, especially regarding our state’s high and complex tax code. Iowa has some of the highest individual and corporate income […]

Lowering Rates is a Positive Trend in State Taxation

Several states are moving in the direction of lowering their tax rates to create economic growth. The trend among many states has been to lower both individual and corporate income taxes as well as business and property taxes. In 2016 several states cut taxes and many of those states were building on previous tax cuts. Jared Walczak, a senior policy […]

 
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