Statewide Iowa (RI) — The State of Iowa for decades has been offering a variety of grants and tax breaks to reward out-of-state companies that expand in Iowa, but Republican Zach Lahn, who’s running for governor, says Iowa’s economic development programs should be reserved for Iowans.
Lahn would no longer allow the state’s research and development tax credits to be awarded to an out-of-state company.
Lahn would even consider new tax credits for Iowa farmers who change the way they apply nitrogen fertilizer.
Lahn says data centers should not get property tax exemptions. He proposes a property tax rate for data centers that’s five times the rate for industrial property.
Lahn’s also suggesting Iowa could set up different levels of taxation on property, so out-of-state owners would pay a higher rate.
Lahn made his comments during this week’s “Iowa Press” program, which airs on Iowa PBS.
Last year, Iowa GOP chairman Jeff Kaufmann criticized Rob Sand, the lone Democrat running for governor, when he suggested something similar. Kaufmann says it’s unconstitutional for states to discriminate against other citizens in commerce, property, or taxation.
KIWA Staff Photo
