Renewable chemical bill advances to governor

March 31, 2016

The Iowa House on Wednesday passed legislation to allow for a new biorenewable chemical production tax credit, and the bill is now on its way to Gov. Terry Branstad to sign. The House passed the bill 95-1. The Senate had already passed Senate File 2300 by a vote of 46-3. The legislation was a priority for the Iowa Economic Development Authority and Gov. Branstad is expected to sign the legislation.

This legislation:

  • establishes a 10 year, $10 million annual credit for renewable chemicals
  • reduces the High Quality Jobs tax credit cap by $20 million per year for 5 years
  • clearly defines what chemicals are eligible for credit
  • outlines eligibility requirements
  • requires tax credit reporting¬†

The Iowa House originally passed legislation for such a tax credit last year, but it did not advance out of the Senate in 2015.

Staff contact: Nicole Crain