The top two Republicans in the Iowa legislature say they’re open to the idea of ending some state tax credits, although they aren’t saying which ones. A review of state tax credits is underway after questions were raised about the way the state’s tax credit program for filmmakers was being run. Business groups are lobbying to retain other tax breaks, like the tax credit for research activities.
Senate Republican Leader Paul McKinley of Chariton says each tax break should be judged on its merit. “Is it improving the economy of Iowa and, generally, is it creating jobs?” McKinley lists as criteria. “…I think every one of them should be looked at.” House Republican Leader Kraig Paulsen of Hiawatha doesn’t have a list of credits he’d like to see end. “I’m not ready to identify any today,” Paulsen says.
“But I’m absolutely supportive of going through and making sure they’re doing what the legislature intended when we passed them.” Senator McKinley says this should be a starting point for a broader examination. “I think that a review of tax credits is a good thing. I think we need more transparency,” McKinley says.
“But I would not stop at tax credits. I think we have to look at each and every program government is involved with to see if we can save in other areas.” McKinley and Paulsen made their comments during taping of the Iowa Public Television program, “Iowa Press.”