DES MOINES – Progress Iowa executive director Matt Sinovic issued the following statement in response to proposed Republican plans to eliminate the state income tax:
“We’ve been making a list and checking it twice, and the Republican plan to rob Iowans of our ability to invest in our communities puts them at the top of our naughty list. Eliminating the state income tax would lead to an even greater loss of services across the state, including healthcare and childcare access for our lowest-income communities.
Research shows that low-income and working class Iowans already pay more than their fair share in property and sales taxes, and eliminating the state income tax would disproportionately impact our most vulnerable communities.
The Iowa state budget gets 50 percent of our funding from the income tax, and eliminating that source of revenue would hurt all Iowans. Less money in our budget means less education funding, less Medicare funding, and an even greater labor shortage in vital areas, like we’ve already seen at the Department of Corrections.
If Republicans like Kim Reynolds really want to create a more fair tax system for Iowans, it’s time to make sure that the richest people and corporations are paying their fair share. It’s time for a tax system that works for all Iowans, not just the wealthy few.
We hope Reynolds and Republicans will have a change of heart and un-scrooge her plans so that every Iowan can have a Merry Christmas and a happy new year.”