DES MOINES, Iowa (AP) - Republicans in control of the Iowa House have announced their proposal to cut state taxes, but it’s unclear if it has support in the GOP-majority Senate.
House leaders released a plan Wednesday that they say would cut state tax revenue by $1.3 billion over five years. It would keep a contested deduction on federal income taxes known as federal deductibility.
House Speaker Linda Upmeyer, a Clear Lake Republican, says the House plan “tweaks” a tax bill proposed by Gov. Kim Reynolds, who suggests cutting $1.7 billion in tax revenue over six years. Senate Republicans passed a bill earlier this session that would eventually cut $1 billion in taxes annually.
Upmeyer says their plan is a “wonderful first start,” an indication she anticipates changes.
Tax-writing committees in both chambers are scheduled Thursday to review possibly competing versions of the bill.
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