One of the big topics of conversation during the current Iowa legislative session will be the possible increase of the state sales tax.

Governor Kim Reynolds proposed a 1% increase during her condition of the state speech, which was met by mixed reactions from legislators. State Representative Chris Hagenow, (R) District 19, says one of the reasons for the increase is to activate the Iowa Department of Natural Resources trust fund. If passed, the DNR would get 3/8ths of every cent, to be used for a variety of projects. “So she (Reynolds) laid out a proposal this year that would provide for raising the state sales tax one-cent, which would trigger that trust fund; and also using the remaining funds as part of a tax relief package. There’d be some additional funds for water quality, mental health services, and a substantial income tax cut. So there’s a lot there, and we haven’t seen the whole bill yet. But I think that’s a pretty ambitious proposal that she came out with.”

State Senator Jake Chapman, (R) District 10, says he would support the sales tax increase, but only as part of a larger initiative. “My goal is to eliminate income tax in Iowa, and I’ve made it very clear that if we’re going to have a conversation about increasing sales tax then we’re going to have a conversation about eliminating income tax. And so if that becomes part of a larger discussion of how we can eliminate income tax, then we’re going to have those conversations and perhaps get something done on that front.”

To learn more about this and other legislative topics, click the links below to listen to the recent Perry Fareway Let’s Talk Dallas County programs with Chapman and Hagenow.

https://www.raccoonvalleyradio.com/2020/01/13/lets-talk-dallas-county-1-13-2020-jake-chapman/
https://www.raccoonvalleyradio.com/2020/01/20/lets-talk-dallas-county-1-20-2020-chris-hagenow/