State tax collections are soaring — up nearly eight-and-a-half percent in the past nine months compared to the same period in the previous fiscal year.
Jeff Robinson of the Legislative Services Agency said there have been increases in each of the main sources of revenue for the state.
“Individual income tax up 6.3%, sales and use tax up 9.7%,” he said in a video briefing posted on the Iowa Legislature’s website, “and corporate income tax up 7.7%.”
The state paid out $30 million more in income tax refunds so far this year compared to the first three months of 2021. “But it still very early in the tax filing season for any trend to be evident,” Robinson said.
Iowa income taxes are due by April 30, 2022.
The tax cuts Governor Reynolds signed into law March 1 will start going into effect for the next tax year. The immediate repeal of state taxes on retirement income and the first stage of reducing the income tax for individuals are projected to contribute to a nearly $15 million reduction in total tax payments to the state.