GETTING POLITICIANS OUT OF YOUR POCKET AND OFF YOUR BACK
Cut the Rates!
It's a scary time of year to be a dollar in your pocket. Many candidates and elected officials can smell the money and want to take more of it!
Do you remember when legislators voted to lower your income tax rates but only after letting government spending grow for a few more years?
Yeah, we do too.
When the reform bill passed two years ago, ITR said it was a good first step. It was, but Iowa needs to continue moving forward.
Iowa's economy was strong before COVID-19. But, as the recovery progresses, it might not bounce back fast enough to meet the tax and spending targets needed to trigger tax cuts.
It doesn't make sense for legislators to cut your tax rates only after adding half a billion dollars to the state coffers and seeing a year-over-year increase in revenue of four percent in 2023. They want to guarantee government spending increases so they won't have to make hard budget decisions.
If Iowans stay quiet, the tax cuts might never happen, and politicians will continue to take more and more of your money.
When legislators return to the Capitol in January, they need to:
Listen to the people paying the bills
Remove the tax and spending targets
Speed up the scheduled tax cuts
When this happens, looking at your pay stub or total state income tax bill won't be as painful, and you will keep more money in your pocket.
Iowans deserve the promised tax cuts, NOW!
Lather, Rinse, Repeat;
More Reform is Still Needed
When a Central Iowa casino shut down due to COVID-19, our friend, Carla, was out of a job. She decided to use this time to become a hairstylist.
However, after looking into Iowa's licensing requirements, she needed 2,100 hours of training through a cosmetology school. Most of this training was cutting hair for the school's customers.
If Carla wanted to just shampoo hair, she would have to pay for the same 2,100 hours. Think about it. She would have to borrow $15,000 to $20,000 to learn how to safely shampoo hair! Something most of us do every day.
Sadly, Carla's Story is not Unique
It's pretty simple. When more Iowans are working, the state has a more robust economy.
What would create more workers? Job licensing reform. The state's licensing requirements are making it harder for Iowans to start new careers and make a living.
Before COVID-19, Iowa had one of the lowest unemployment rates in the country. To help fill those jobs, legislators and the Governor changed some occupational licensing laws to:
Recognize the license or experience a person obtained in another state
Waive fees for low-income Iowans
Give applicants with criminal histories a second chance at a good career.
Now, as Iowa's economy starts to recover, more should be done to help Iowans get back to work.
Governor Kim Reynolds recently said, "We still have more work to do. In my condition of the state address, I called for a complete review of Iowa's licensing regulations to identify and eliminate licensing requirements that are outdated, redundant, or really have no impact on public health or safety."
We agree. Iowa needs to continue reform with a complete review of job licensing regulations to:
Requirements that are outdated, redundant, and have no impact on public health or safety.
Iowa doesn't know if the regulations are still relevant or how they compare with other states, which might result in an unnecessary burden placed on the back of Iowa workers.
Continued licensing reform such as reducing the number of hours Carla needs to train would save her, and many other Iowans, time and money.
Getting a paycheck a few months sooner is much better than paying for a few more months of school.
Links of Interest
Consider yourself warned: If Democrats win full control of the federal government, Iowa's Right to Work will be gone overnight. - Americans for Tax Reform
Joe Biden’s plans will mean tens of thousands of missing jobs, thousands of dollars in new government burdens for families, and even lost revenue for state governments. - Townhall
Do you want a Trump economy or a Biden economy? Both men have records in leading the country so the question isn’t a speculative one. - The Spectator
This doesn't add up. Biden is proposing about $3 trillion in new taxes to pay for up to $11 trillion in new spending. That's a recipe for even bigger budget deficits. He's proposing more than twice as much new spending as Hillary Clinton did in 2016.
Under the Biden Campaign's tax plan, Americans at every income level will have a higher effective tax rate in 2021. - Cato Institute
Those who claim that spending less will cause service cutbacks are like kidnappers making ransom demands. Too many elected officials would rather have taxpayers submit to a tax increase now, or pay off bailout debt later, than do the hard work of eliminating unnecessary spending. - Wall Street Journal
Defunding the police will have unintended costs. These additional costs would fall on taxpayers, businesses, and consumers. - Iowa Field Report
This is wrong. Since 2004, federal agencies have paid out $1.2 trillion of improper payments to the wrong person, in the wrong amount, or for the wrong reason.
Too much regulation kills middle-class jobs: Increased regulation hurts the very individuals it aims to help. On the other hand, regulatory reform focused on removing unnecessary costs increases economic growth and wages. - National Review