Two key Republicans in the Iowa Legislature say they’re willing to consider a hike in the state sales tax, if it’s coupled with cuts in other state taxes. Iowa voters in 2010 approved creation of a state fund to pay for water improvement and outdoor recreation projects — but the legislature has never passed the 3/8ths cent increase in the state sales tax to fill the Iowa Water and Land Legacy Fund. Senate President Charles Schneider, a Republican from West Des Moines, says he’s willing to “keep an open mind” as he discusses the idea with his G-O-P colleagues.
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Republicans in the Senate AND the House will meet privately later this month to map out their policy agenda for the 2019 legislative session. House Majority Leader Chris Hagenow says Republicans will be “much more likely” to raise the sales tax if it’s coupled with a tax cut of some sort.
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Iowa purchases are generally assessed a seven percent sales tax rate, with one percent being used exclusively on school infrastructure AND many cities and counties collecting a one percent local option sales tax.
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Iowa Legislators May Consider Sales Tax Hike

Photo: WNAX



