Tax Update Blog: Permalink

« Previous · Tax Update Blog Home · Next »

GOVERNER VILSACK AND TAX CUTS: WILL HE OR WON'T HE?

June 09, 2003

Governor Vilsack has not yet announced whether he will sign the tax cut passed by the Iowa legislature last week. Tax Analysts cites "sources in the Governor's Office" as saying the tax cuts face an "almost certain" veto.

The bill would trim individual tax rates over the next four years. It would also provide for deeper cuts in 2007, combined with the elimination of the deduction for federal taxes, if a constitutional amendment requiring a 60% majority for tax increases is enacted.

Constitutional amendments have to be passed twice by the legislature and then approved in a referendum to take effect. Even if the Governor signs the tax bill, passage of the constitutional amendment is not a foregone conclusion.

      Bookmark: del.icio.us • Digg • reddit