Gov Reynolds has signed into law a major realignment of Iowa's tax system, achieving one of her biggest legislative priorities just in time for a national speech introducing herself to a conservative audience. She will give the Republican response after president Joe Biden’s State of the Union speech tonight.
Over the next few years, the law will lower Iowa's top income tax rate until all Iowans pay a 3.9% flat tax starting in 2026. Along the way, it will eliminate the state's progressive income tax system, where wealthier Iowans pay higher rates than lower-income Iowans, and place Iowa among 10 other states with some form of flat income tax.
Democrats have criticized the plan because the wealthiest Iowans receive the greatest share of benefits, while Republicans say the law will attract new residents and make the state more competitive.
The leading Democratic candidate challenging Gov. Kim Reynolds in the upcoming election says the governor has more important things to pay attention to than her national address this evening.
Democratic gubernatorial candidate Deidre DeJear says Gov. Kim Reynolds should be focused on challenges within the state of Iowa rather than speaking on a national platform. The governor was chosen to give the G-O-P response to President Joe Biden’s State of the Union address.
DeJear says Reynolds should pay more attention to the state’s mental health resources, childcare access and workforce issues. Reynolds has not yet announced a re-election campaign, but is expected to run for another term.
