Reynolds Introduces Invest In Iowa Act, Launches Town Hall Tour
February 12, 2020
On Wednesday morning, Gov. Kim Reynolds formally introduced the Invest in Iowa Act and announced that she will hold a series of town halls to talk about the proposals and ideas behind the bill.
Reynolds made the announcement at her weekly press conference and was joined by a broad coalition of supporters. Reynolds first introduced the Invest in Iowa Act during her Condition of the State address last month.
The proposal, she said in her speech, will cut income taxes, create a sustainable funding source for Iowa’s mental health system, reduce Iowans’ property tax burden, and fund the Natural Resources and Outdoor Recreation Trust approved by voters in 2010.
The Natural Resources and Outdoor Recreation Trust proposal required that the next time the Iowa Legislature approved a sales tax increase, 3/8th of one cent of that increase would establish permanent revenue for the trust. The proposal would raise Iowa’s sales tax but offset it with an income tax cut.
With the new round of income tax cuts, Iowa’s income tax top rate would drop to 5.5 percent by 2023, down from 8.98 percent from one year ago.
“The Invest in Iowa Act is a bold vision for Iowa that lowers the overall tax burden on Iowans, and invests significantly in mental health and water quality. This plan will have immediate results for our economic competitiveness and overall quality of life,” Reynolds said. “This kind of meaningful tax reform and investment will not only boost paychecks, but put Iowa on the map as a beacon of economic opportunity. Now that our bill has been introduced, I look forward to continuing this conversation and will be taking the conversation out to Iowans, with a series of town halls throughout the state.”
“The Invest in Iowa Act is a step in the right direction for Iowa’s future,” said Joe Murphy of the Iowa Business Council. “Increasing the competitiveness of Iowa’s overall tax climate will lead to more jobs and opportunities for Iowans. Furthermore, the Invest in Iowa Act also includes solutions to address financial challenges associated with childcare which will positively impact working families throughout the state.
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