“We made great strides last year expanding our job creation efforts by focusing on targeted industries like advanced manufacturing, information solutions, life sciences and alternative energy. We will continue our focus this year on creating good-paying jobs that help middle class families. Around 500,000 Iowans will also benefit from a lower state tax bill as they fill out their 2007 tax returns in the coming months.” — House Majority Leader Kevin McCarthy.
Some of the initiates to help middle class families include:
- 64,000 working families will receive a larger tax refund this year after a $10 million expansion of the Earned Income Tax Credit, which also made the credit refundable. Iowans with questions about the EITC can call 800-367-3388. (Senate File 590, 2007)
- 430,000 seniors will find a reduction in their state income taxes. Iowans over 65 will see a 32% decrease in taxes on social security income and won’t pay any state tax on the first $18,000 ($24,000 for couples) of other income (Senate File 2408, 2006)
- Minimum wage rose on January 1 to $7.25 and 257,000 Iowans will benefit (House File 1, 2007)
- $100 million Iowa Power Fund to make Iowa energy independent (House File 918, 2007)
- Batelle Targeted Industry recommendations to focus state efforts on industries that have the greatest potential for job growth in Iowa (House File 829, 2007)
- Incentives for film and television production and development in Iowa (House File 892, 2007)