Second Tax Bill Passes Senate

SF 2372 passed the Iowa Senate earlier this week. The bill lowers franchise and premium taxes on banks and insurance companies. The bill also makes changes necessary for the tax treatment of “consumable foods” that are needed to align new administrative rules promulgated by the Department of Revenue with the tax reporting practices of these producers prior to the rule. The bill goes further by eliminating several tax credits, such as those affecting computers and computer peripherals that many other ABI member companies utilize. When lawmakers between the Senate, House and the Governor negotiated the broader corporate and individual income tax bill, many of these changes in credits were considered and deleted. ABI staff will work to keep the beneficial provisions in the legislation when being considered by the House. For more information, contact JD Davis at jddavis@iowaabi.org.

• Status: Passed Senate
• ABI Position: For