DES MOINES – A group of Iowa senators have introduced a bill that would eliminate a tired tax structure for corporations doing business in Iowa.
Currently, the corporate income tax is imposed in a progressive manner using four income brackets with inreasing rates: on the first $25,000 of income, the rate is 6 percent; on income between $25,000 and $100,000, the rate is 8 percent; on income between $100,000 and $250,000, the rate is 10 percent; on income of $250,000 or more, the rate is 12 percent.
The bill eliminates this tiered bracket and rate structure and imposes the tax at the rate of 6 percent on the corporation’s taxable income. The bill applies retroactively to tax years beginning on or after January 1, 2013.
The bill was introduced by Brad Zaun, from Urbandale.
All this does is reduce the rate of double taxation on corporations. It’s about time.
So he wants to lose money for the state? This bill is as stupid as he is.