DES MOINES, Iowa – June 1, 2018 – Earlier this week, Iowa Governor Kim Reynolds signed an extensive tax reform bill into law. The new law includes provisions to modernize and simplify Iowa’s currently complex tax laws.
“Iowa’s tax system is one of the most complicated in the country. This legislation will make the tax laws easier for Iowa taxpayers,” said Iowa Department of Revenue Director Courtney Kay-Decker. “The Department has started to provide information and guidance for our taxpayers and tax professionals on the various pieces of reform. We look forward to doing our part to implement and administer the new law with the fairness Iowans expect.”
The new tax law modifies individual income tax, corporate income tax, sales and use tax, hotel motel tax, and vehicle excise tax. There are many implementation dates for the various changes. In the coming weeks, the Department will provide a summary of the significant effective dates in the new law, as well as subject matter guidance for changes that are effective for tax year 2018. Additional guidance will be issued as it is developed, and generally issued sooner for provisions with earlier effective dates.
To help provide the best resources possible, the Department welcomes input from taxpayers, tax professionals, and other stakeholders on areas of the new law that might benefit from further explanation or guidance.
The Department created a tax reform page on its website. Information and resources, including guidance from the Department, will be added as it becomes available. To receive notifications of resources and guidance issued by the Department, subscribe to updates by selecting the tax topics of interest.
About the Department of Revenue: The mission of the Iowa Department of Revenue is to serve Iowans and to support government services in Iowa by collecting all taxes required by law, but no more.