Small Businesses Grateful to Gov. Reynolds for Signing Property Tax Legislation

Date: June 04, 2019

Excessive hikes in rates had hindered growth, success, and job creation in Iowa.

DES MOINES, May 23, 2019 – NFIB, which represents nearly 11,000 small businesses in Iowa, is elated that Governor Kim Reynolds signed into law a bill capping property taxes and bringing much-needed transparency to the taxation process. That measure should slow the growth of government and offer needed relief to small businesses and their employees. The more money a small business can keep, the more that is reinvested in business growth–creating jobs and improving Iowa’s economy.

“The uncontrollable property tax increases were causing hardship for small business owners who were forced to forgo the purchase of new equipment, and they could not expand or create new jobs,” said Matt Everson, State Director of NFIB in Iowa. “One resource development company told NFIB his taxes rose 30 percent in three years, so he opted to expand his Missouri facility instead of the Iowa plant. We are very grateful to Gov. Reynolds for signing this bill because it will discourage companies from leaving the state.”

The legislation limits annual property tax growth in a city or county to 2 percent. If the local government body wants to increase tax collections above 2 percent, there is a requirement for a public hearing and a two-thirds majority vote of the Council or Supervisors for passage.

“There will now be much-needed oversight, and the small business owner will be able to have a voice in the process,” added Everson. “One liquor store owner in Kossuth County explained he would have to sell an additional 500 cases of beer to pay for his 62 percent property tax increase. Hopefully, excesses like that will be brought under control.”

“Across the board, Iowa is one of the highest taxed states in the country.  Reining in the egregious tax structure in the state was critical to NFIB’s small business owners who sent more than one thousand emails to lawmakers asking them to vote for the tax cap. Lawmakers who supported this measure were listening to their pleas, and we are grateful for their leadership and we praise Gov. Reynolds for signing the bill.”

Related Content: Small Business News | Iowa

Subscribe For Free News And Tips

Enter your email to get FREE small business insights. Learn more

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More

Or call us today
1-800-634-2669

© 2001 - 2024 National Federation of Independent Business. All Rights Reserved. Terms and Conditions | Privacy