Economic relief and support for Iowans

By State Rep. Jon Dunwell

Iowans are facing rising costs, with inflation driving economic concerns this election cycle. To ease this burden, Iowa Republicans have lowered the income tax rate for all taxpayers to 3.8 percent, providing direct relief. Despite claims from Democrats that these cuts favor the wealthy, every taxpaying Iowan benefits from this policy, which Democrats have consistently opposed.

This legislative session, the House Ways and Means Committee advanced several bills to further reduce costs for Iowans. House File 110 eliminates income tax on overtime pay, boosting the earnings of Iowa’s hardest workers. House File 268 removes income tax on up to $25,000 in cash tips for service industry workers earning under $155,000 annually. Additionally, House Files 963, 964, and 966 eliminate sales tax on laundry detergent, toilet paper, and dietary supplements, respectively, offering relief on everyday essentials.

To support families, House File 965 raises the adoption tax credit from $5,000 to $20,000, making adoption more accessible and helping children find loving homes. House File 962 removes the income cap for the Iowa child and dependent care tax credit, broadening access to this benefit. These bills, now awaiting House floor debate, aim to put more money back into Iowans’ pockets.

In another significant step, House File 969 was signed into law, expanding cancer coverage for Iowa’s first responders. This bill broadens the definition of cancer under the Municipal Fire and Police Retirement System and IPERS, ensuring more cancers qualify for disability and death benefits. Previously, only 14 cancer types were covered, leaving out others that affect firefighters and police officers. Supported by firefighters and families who lost loved ones to uncovered cancers, this law honors the sacrifices of those who risk their lives daily.

These efforts reflect a commitment to easing financial pressures and supporting Iowa’s workers, families, and heroes. By cutting taxes, reducing costs on essentials, and expanding protections for first responders, Iowa’s legislature is working to build a stronger, more affordable future for all.

Let’s keep the conversation going!