SSB 3142

This joint resolution proposes amendments to the Constitution of the State of Iowa by restricting certain state tax law changes and requiring a single rate for individual income taxes. RESTRICTIONS ON CERTAIN STATE TAX LAW CHANGES. The amendment requires a bill that increases the individual income tax rate or corporate income tax rate, or the rate of any other type of tax based upon income or legal and special reserves, to be adopted by at least two-thirds of the members elected to each house of the general assembly. In addition, the amendment requires a bill that establishes a new tax on any type of income or legal and special reserves imposed by the state to be adopted by at least two-thirds of the members elected to each house of the general assembly. A lawsuit challenging enactment of a bill subject to the two-thirds majority passage requirement must be filed no later than one year following the enactment of the bill. Finally, the amendment requires the general assembly to enact laws to implement the amendment. SINGLE INDIVIDUAL INCOME TAX RATE. _____ taxation on such income is prohibited. The amendment prohibits more than one income tax rate above zero imposed by the state for state purposes on an individual at any one time. REFERRAL. The resolution, if adopted, would be published and then referred to the next general assembly (91st) for adoption, before being submitted to the electorate for ratification.