Read the latest news regarding small businesses in Iowa and the prosperous future they will have thanks to the act of Governor Reynolds.
Small Enterprises Are Thankful to Governor Reynolds for Signing Property Tax Legislation
Des Moines, Iowa, May 23, 2019 — The National Federation of Independent Business, which represents around 11,000 small enterprises in the state of Iowa, is thrilled with the decision of Governor Kim Reynolds. She signed the legislation restricting property taxes and made it possible for the taxation process to be transparent. This act is likely to result in a slower expansion of the government and lead to the success of small enterprises and people earning a living off of them as well. The more funds a small enterprise manages to keep, the more money will be invested in the overall business growth; hence, the state’s economy will improve and create more job positions.
According to the State Director of the National Federation of Independent Business in Iowa, Matt Everson, the continuous growth of the property tax was impairing the expansion of small enterprises. Their owners had no choice but to buy new equipment, which led to the inability to grow and provide new job positions.
He added that one resource development firm let him know about the rise of his taxes by 30% in a three-year period. As a result, instead of investing in the Iowa plant, the Missouri facility was expanded. He stated that the residents of Iowa were incredibly grateful to Governor Reynolds for signing the legislation. He believes that the new situation will prevent small firms from leaving the state.
The bill that has passed limits annual property tax growth in a county or a city to 2%. In case a local government body wishes to increase taxes above the said limit, a public hearing, as well as a two-thirds majority vote of the Council of Supervisors, will be obligatory for the requirement to be fulfilled.
Everson stated that the entire process would be much better supervised, and the owners of small enterprises would have the ability to have a say in it. According to his words, a particular liquor store owner in Kossuth County said that if they wanted to pay for their 62% property tax increase, they would have to sell 500 more cases of beer. Everson hopes that the implemented restrictions will prevent such excesses.
He concluded by saying that Iowa was the state with the highest taxes. Such a situation was somewhat unfavorable for the National Federation of Independent Business’ owners of small enterprises. They had been constantly emailing the lawmakers, requesting tax restriction. Certain lawmakers approved of their requests, and the residents of Iowa are thankful that Governor Reynolds signed the legislation.