For Immediate Release: June 5, 2017
DES MOINES — Senator Pam Jochum of Dubuque, the lead Democrat in the Iowa Senate on tax issues, has written a letter in response to Governor Kim Reynolds’s call for comprehensive tax reform.
“Iowans deserve a tax system that is fair to everyone, not just the special interests,” Jochum said. “Because of the state’s cobbled together tax policies, many Iowans believe the system is rigged against them. Iowans deserve a tax system that works for all of us and increases prosperity for more Iowans.”
Jochum wrote that she welcomes the Governor’s promise to support bipartisan legislation and then outlined four essential principles of truly bipartisan tax reform.
In her letter, Jochum noted that:
- “Tax reform must be fair…Iowa’s lowest income earners pay the largest portion of their income in taxes. Changes to Iowa’s tax system should address this situation and not make this problem worse.”
- “Tax reform must make Iowa’s tax code more transparent so Iowa can show its true competitiveness to the nation…Our tax rates appear to be among the highest in the nation — but according to the Tax Foundation, the amount paid by Iowans through our tax system ranks Iowa in the middle of the pack.”
- “Tax reform needs to take into account our current budget situation…We must not repeat the mistakes of Kansas, which passed massive tax cuts that have resulted in a continual budget crisis where schools are underfunded…”
- “Tax reform needs to examine corporate tax credits…We must determine if these corporate tax credits a good return on the investment and benefit Iowans, not just those few businesses.”
“True tax reform would be fair, transparent, affordable, and include reforms of corporate tax credits,” said Jochum. “There is strong Democratic support for true tax reform. If that’s Governor Reynolds’ goal, I say: ‘Bring it on!’”