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90th General Assembly · Funnel one-pager · Monday, November 9, 2026

HF 264: Exempting from the individual income tax the wages of individuals who provide services to disabled individuals and including effective date and applicability provisions

Became HF 2709 · Its progress continues under the new number.

What it does

This bill exempts from the individual income tax wages received by an individual from a nonprofit, tax-exempt organization organized under Code chapter 504 (revised Iowa nonprofit corporation Act) for services provided to individuals domiciled in this state who have a physical or mental impairment that substantially limits one or more major life activities. The bill takes effect January 1, 2024, and applies to tax years beginning on or after that date.

Sponsors

Not listed

Cost

See the fiscal note

1 million each tax year. A school district that is not at its maximum Fiscal Note Fiscal Services Division 2 allowed surtax rate may choose to increase the surtax rate to maintain its annual surtax revenue.

House subcommittee · named March 26, 2024

  • Rep. Shannon Lundgren (R) · shannon.lundgren@legis.iowa.gov
  • Rep. Brian Best (R)
  • Rep. Elizabeth Wilson (D) · elizabeth.wilson@legis.iowa.gov

Lobbying · 22 for, 1 against

For: American Heart Association; Brain Injury Alliance of Iowa; Easterseals Iowa; Exceptional Persons, Inc.; Hills and Dales; Hope Haven Area Development Center; IA Mental Health Planning Council; Imagine the Possibilities; Iowa Association of Community Providers; Iowa Developmental Disabilities Council; Iowa Mental Health Advocacy; Link Associates; and 10 more

Against: Iowa CareGivers

In plain words

  1. February 13, 2023Filed in the House and sent to the Ways and Means committee
  2. February 16, 2023Cost estimate (fiscal note) posted
  3. March 28, 2023House subcommittee named: Lundgren, Best and Wilson
  4. April 3, 2023Subcommittee recommended passing it
  5. March 26, 2024House subcommittee named: Lundgren, Best and Wilson
  6. March 27, 2024Subcommittee recommended passing it with changes
  7. April 18, 2024Approved by the House committee
  8. April 18, 2024Approved by the House committee, and given a new number: HF 2709

From public records at legis.iowa.gov, compiled by Funnel (iowafunnel.com), an independent, nonpartisan site. Current as of Monday, November 9, 2026. https://iowafunnel.com/bills/90/HF264