The State of Iowa’s Fiscal Year 2021 ended on June 30, with our state collecting $1 billion more in taxes than it did the year before.
That growth in the state’s bottom line reveals two thing: Iowa’s economy is stronger than ever, and our taxes are too high.
General fund receipts in Iowa were up $1.14 billion in 2021, a 16.3% year-over-year increase. When the Revenue Estimating Conference met in March, they predicted an increase of only 1.8%.
Before anyone tries to credit this growth to the federal government, know that none of the COVID money Iowa received from Washington is counted in the $1.14 billion.
Bottom line: Iowa’s economy is doing better than ever before, even in the face of a world wide pandemic.
Thanks to Gov. Reynolds and the legislature, small business owners can take advantage of a massive tax cut that passed this spring.
Senate File delivers the largest income tax cut in Iowa history, while also phasing out Iowa’s inheritance tax.
However, we can’t rest on our laurels. There’s more work to be done! Thank the governor for her hard work here!