• Home
  • News
    • Politics & Government
    • Business & Economy
    • Crime / Courts
    • Health / Medicine
  • Sports
    • High School Sports
    • Radio Iowa Poll
  • Affiliates
    • Affiliate Support Page
  • Contact Us
    • Reporters

Radio Iowa

Iowa's Radio News Network

You are here: Home / Business / Five year extension for tax break targeting five Iowa border cities

Five year extension for tax break targeting five Iowa border cities

May 17, 2013 By O. Kay Henderson

The governor has approved the renewal of a tax incentive for businesses that set up shop in five cities situated along Iowa’s borders.

All but five legislators voted for the legislation and Governor Terry Branstad signed it into law Thursday afternoon.

“Many of our neighboring states, unfortunately, have lower taxes than we do,” Branstad said during a bill signing ceremony in his statehouse office. “The Targeted Jobs Program allows some of our border communities to better compete with surrounding states by giving them a much better tool for off-setting Iowa’s uncompetitive income tax rates.”

Paul Eckert, the city manager for Sioux City, says 1500 jobs in Sioux City can be traced back to the tax break established when the program began in 2006.

“It was our top legislative priority in Sioux City. We think it’s incredibly important. We greatly appreciate the bipartisan support,” he said. “Ninety-eight million dollars of value has been created in Sioux City because of this legislation, so it was essential for us to complete — to bring jobs (and) retain jobs in Sioux City.”

The program is only available in Sioux City, Council Bluffs, Burlington, Fort Madison and Keokuk and the bill the governor signed into law yesterday extends the program for five more years. Businesses that promise to locate or expand in those five cities may qualify for a state withholding tax credit under the program. The business can claim a tax credit that amounts to three percent of the gross wages it pays to newly hired employees. The cities also get an equal amount from the state. It can be used on projects, like streets, that benefit the business involved.

Share this:

  • Facebook
  • Twitter

Filed Under: Business, News, Politics / Govt Tagged With: Democratic Party, Legislature, Republican Party, Taxes, Terry Branstad

Featured Stories

Biden calls man quizzing him at town hall ‘a damn liar’

Governor ends public airing of state agency budget requests

Former Manchester hospital CEO given suspended 10-year sentence

After 70 years, southwest Iowa woman files final ‘Up a Country Lane’ column

Sioux City residents can once again own pit bulls

TwitterFacebook
Tweets by RadioIowa

Iowa State’s Campbell agrees to contract extension

Epenesa and Duncan honored by B1G

Iowa’s Nunge sidelined by knee injury

State board proposes changes for sports eligibility, creation of summer dead period

Iowa’s Epenesa honored by B1G

More Sports

eNews and Updates

Enter your email address:

Delivered by FeedBurner

Archives

Copyright © 2019 ยท Learfield News & Ag, LLC