Iowa governor signs flat tax bill into law
Iowa Gov. Kim Reynolds speaks to reporters following a news conference, Thursday, Aug. 19, 2021, in West Des Moines, Iowa. Reynolds lashed out at President Joe Biden Thursday after he ordered his education secretary to explore possible legal action against states that have blocked school mask mandates and other public health measures meant to protect students against COVID-19. Reynolds, a Republican, has signed a bill into law that prohibits school officials from requiring masks, raising concerns as delta variant virus cases climb across the state and schools resume classes soon. (AP Photo/Charlie Neibergall)
DES MOINES, Iowa (AP) – Iowa Gov. Kim Reynolds has signed into law a tax bill that creates a 3.9% flat tax in four years, eliminates taxes on retirement income and lowers taxes for corporations at an estimated cost of about $2 billion to state income but with little impact for many middle class and low-income earners.
Democratic Party Chairman Ross Wilburn says the bill hands millionaires an extra $1,200 a week, while teachers and truck drivers get less than $12 a week.
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