The Iowa Senate's budget targets send a clear message: family budgets are more important than government spending.
It is easy for politicians to talk a conservative message as they campaign for office. Once elected, it can be harder to follow through on those promises.
Fortunately, the Iowa Senate Republicans followed through on campaign promises when they released their Fiscal Year 2022 budget targets. It is clear they think family budgets are more important than government spending. Their budget would:
- Eliminate revenue triggers and cut income tax rates
- Eliminate the inheritance tax
- Eliminate the mental health levy from property taxes
Senate Majority Leader Jack Whitver said, "This budget keeps the promise our members made to Iowans to reduce taxes on Iowa families, small businesses, and farmers by accounting for the removal of the triggers, phasing out the inheritance tax, and over $100 million in property tax relief. Iowans can remain confident the promises made by Senate Republicans are kept."
The Senate budget would spend 94 percent of available state revenue as it increases funding for education and public safety. Appropriations for mental health services would shift from property taxes to the state budget and receive a significant increase in total funding. Their budget would allow Iowans to keep more of their hard-earned dollars and still provide revenue for the state government's priorities.
The Iowa House hasn't released its budget targets yet. Once they do, the two chambers will negotiate the final state budget. As this process moves along, we will keep you updated and let you know if your legislators follow ITR's Five Principles of Sound Tax Policy.