Iowa 2023-2024 Regular Session

Iowa House Bill HSB752

Introduced
4/18/24  
Introduced
4/18/24  

Caption

A bill for an act relating to state and local finances by modifying individual and alternate income tax rates, withholding credits, franchise tax deductions, methodologies for determining property taxes, and property tax assessment limitations, changing methods of determining compensation of county officials, making contingent transfers from the taxpayer relief fund, and making corrections, and including effective date and applicability provisions.(See HF 2705.)

Impact

If enacted, HSB752 would directly impact how property taxes are calculated and enforced across Iowa. By adjusting methods for property tax assessments and allowing municipalities to extend tax collection periods for projects, the bill could lead to significant changes in local funding for services and infrastructure. This would not only affect taxpayers but could also influence the overall economic climate by altering how businesses and municipalities can finance essential projects, particularly in urban development and public services.

Summary

House Study Bill 752 proposes significant modifications to the state's financial management and taxation frameworks as it relates to both state and local entities. It aims to alter individual income tax rates, franchise tax deductions, and methodologies for determining property tax assessments. The bill sets provisions to reduce property tax assessments based on various assessed value thresholds, thereby potentially following trends to alleviate the tax burden on residents and businesses. Furthermore, it includes a provision for the state to make contingent transfers from the taxpayer relief fund, allowing for flexibility in financial management during fiscal uncertainties.

Contention

A point of contention arose regarding the provisions that allow municipalities to collect taxes for up to an additional three years for urban renewal projects initiated before January 2018. While proponents argue this will provide necessary funding for essential public improvements, critics express concerns that extending these tax collection periods could lead to long-term financial burdens on local residents. The tension between maintaining fiscal responsibility and providing adequate public services is central to the debate surrounding this legislation.

Companion Bills

IA HF2705

Replaced by A bill for an act relating to state and local finances by modifying individual and alternate income tax rates, withholding credits, franchise tax deductions, methodologies for determining property taxes, and property tax assessment limitations, changing methods of determining compensation of county officials, making contingent transfers from the taxpayer relief fund, and making corrections, and including effective date and applicability provisions.(Formerly HSB 752.)

Previously Filed As

IA HF418

A bill for an act relating to property taxes by modifying the methodology for determining actual value of residential property, certain levy rates, and assessment limitations of certain classes of property, and including retroactive applicability provisions.

IA HF2577

A bill for an act relating to property taxes and local government funding by modifying the methodology for determining actual value of property, certain levy rates, bonding procedures, assessment protests, and assessment limitations of certain classes of property, and including retroactive applicability provisions.

IA HF496

A bill for an act modifying the individual and alternate income tax rates, and including applicability provisions.

IA SF2464

A bill for an act relating to state finances by modifying the taxes imposed on health maintenance organizations, making transfers from the taxpayer relief fund, making and supplementing appropriations to the department of health and human services, and including effective date, contingent effective date, and retroactive applicability provisions.(Formerly SSB 3182.)

IA SSB3182

A bill for an act relating to state finances by modifying the taxes imposed on health maintenance organizations, making transfers from the taxpayer relief fund, making and supplementing appropriations to the department of health and human services, and including effective date, contingent effective date, and retroactive applicability provisions.(See SF 2464.)

IA HSB596

A bill for an act relating to local government taxes, budgets, and authority, by establishing property tax limitations and modifying provisions relating to the assessment and taxation of property, certain taxpayer notices, bond issuances, and councils of governments, and including applicability and retroactive applicability provisions.(See HF 2745.)

IA HSB762

A bill for an act relating to state finances by modifying the taxes imposed on health maintenance organizations, making transfers from the taxpayer relief fund, making and supplementing appropriations to the department of health and human services, and including effective date, contingent effective date, applicability, and retroactive applicability provisions.(See HF 2739.)

IA SSB1239

A bill for an act relating to the elimination of the individual income tax and alternate income tax by creating the taxpayer relief trust fund and income tax elimination board and fund, and making appropriations.

IA HSB89

A bill for an act relating to the administration of the tax by the department of revenue by modifying provisions related to personal income, property, sales and use, motor fuel, and inheritance taxes, changing tax expenditure reviews, and including effective date and retroactive applicability provisions.(See HF 976.)

IA HF2739

A bill for an act relating to state finances by modifying the taxes imposed on health maintenance organizations, making transfers from the taxpayer relief fund, making and supplementing appropriations to the department of health and human services, and including effective date, contingent effective date, and retroactive applicability provisions. (Formerly HSB 762.) Contingent effective date, effective 03/25/2026, 07/01/2026. Applicability date: 01/01/2026.

Similar Bills

No similar bills found.