By Noelle Smith
In this economy, it’s not easy to catch a break. But small businesses might have the chance with new tax reform.
Iowa Congress House File 2274 has got small businesses hopeful.
Jim Kahler, the President of Leachman Lumber Company, says taxes are too high.
“I do think it’s unfair,” he said.
Around for 90 years, Leachman’s, and Kahler, have seen a lot of changes in the tax code.
“I’ve watched it become more and more difficult for businesses like ourselves to hang on,” Kahler said.
And with expenses like property tax increases, it’s hard. In the last ten years, they’ve seen their property taxes increase by 250 percent.
But relief may be here. Iowa lawmakers are considering a new tax reform bill. If passed, the bill would lower commercial and industrial property taxes by 40 percent over the next five years for small businesses.
Tom Sands is the Iowa House Ways and Means Committee chairman. He has spent a lot of time with the bill, and is a proponent.
Critics say the bill would reduce revenue for local governments.
Kahler says he still supports the bill.
“It’s small businesses that create jobs,” he said.
Sands says he believes this bill is a long term solution.
“It provides reform and relief. And I think as a package, it’s a very good bill,” he says.
House File 2274 has passed the House, and is currently being reviewed by Senate committees.