HomeMy WebLinkAbout2012-01-06 Correspondence-DI i st Y4,
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Commercial Property Tax Cut Fact Sheet
Encouraging jobs and economic development by focusing help on small businesses
Summary
Under the Iowa Senate proposal (which was
approved in an overwhelming, bipartisan 46 -4 vote),
every Iowa business would receive a commercial
property tax cut.
For four out of five of Iowa commercial property
taxpayers, their commercial property would be taxed
at the SAME rate as residential property. That is a 45
percent cut in their current commercial property
taxes. Because this is a state - funded tax credit,
there would be no direct or indirect tax shift onto
residential property taxpayers or harm to schools
and local government.
Under the House Republican proposal, commercial property taxes would be cut by 25 percent.
Governor Branstad wants a 40 percent cut. Neither plan would fully replace the losses to cities,
counties, and schools. Both would cause large residential property tax increases.
How will large corporations fare under each plan?
Senate Plan: The tax rebate tops out at $6,120 for property valued at $340,000 and above.
House and Governor's Plans: There is no limit to the amount that a large corporation could receive
from the state of Iowa.
Source: Estimates based on a statewide survey by William T. Greozel, Johnson County Assessor
For more information: See Senate File K2 (http: / /alturi.com /mmrom)
Senator Joe Bolkcom, joe.bolkcom @legis.iowa.gov, (319)337 -6290
Senator Herman Quirmbach, herman.quirmbach@legis.iowa.gov, (515) 292 -8984
Per store tax cut under
Total Statewide Tax
Corporation
the Iowa Senate's Plan
Cut Under Governor
Branstad's Plan
Wal -Mart
$6,120
$7,063,936
Home Depot
$6,120
$1,154,050
Menards
$6,120
$2,891,618
Casey's
$6,120
$1,910,400
General Growth (Coral
$6,120
$5,600,000
Ridge, Jordan Creek)
Source: Estimates based on a statewide survey by William T. Greozel, Johnson County Assessor
For more information: See Senate File K2 (http: / /alturi.com /mmrom)
Senator Joe Bolkcom, joe.bolkcom @legis.iowa.gov, (319)337 -6290
Senator Herman Quirmbach, herman.quirmbach@legis.iowa.gov, (515) 292 -8984