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Proposed One Cent Increase To State Sales Tax Increase Questioned At First Legislative Forum

A proposed one cent increase to Iowa’s sales tax was one of the opening questions at the first Carroll Chamber of Commerce Legislative Forum Saturday morning in the activities building at New Hope. Senator, Mark Segebart, says he doesn’t think Gov. Kim Reynolds’ plan will pass.

The proposal has three-eighths of that penny going to conservation for water quality initiatives through IWILL, Iowa’s Water and Land Legacy Coalition. The rest would be used to lower the tax levy rate for mental health services across the state. Iowa House Representative, Brian Best, says he agrees with what the governor is trying to do, but it will be a challenge to get it passed.

Best adds there are two ways of looking at this increase.

He says he has concerns about raising the tax rate and creating a bigger divide between Iowa and other states in the Midwest.

The idea behind the increase in sales tax is to drop the current per capita mental health levy rate from $42.79 to $12.50. The levy comes from taxes on Iowa property owners. Carroll Broadcasting will bring you more on Saturday’s discussions about school choice, child and health care and the proposed one cent bottle bill in upcoming newscasts.

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