HF 2017: Creating a state work opportunity tax credit available against the individual and corporate income taxes, and including retroactive applicability provisions

What it does

This bill creates a state work opportunity tax credit available against the individual and corporate income taxes. The bill reduces individual or corporate income taxes, as applicable, by a work opportunity tax credit that is equal to 100 percent of the federal work opportunity tax credit provided in section of the Internal Revenue Code. The federal work opportunity tax credit is a credit based upon a percentage of wages paid by employers to persons who may face barriers to entering the workforce. The tax credit is not refundable but the excess for the tax year may be credited to the tax liability for the following year. The bill applies retroactively to tax years beginning on or after January 1, 2026.

House subcommittee · named January 14, 2026

• Rep. Chad Ingels (R) · chad.ingels@legis.iowa.gov
• Rep. Larry McBurney (D) · larry.mcburney@legis.iowa.gov
• Rep. Ryan Weldon (R) · ryan.weldon@legis.iowa.gov

Lobbying · 5 for, 0 against

For: Brain Injury Association of Iowa; Iowa Association of Community Providers; Iowa Catholic Conference; Iowa Developmental Disabilities Council; Iowa Motor Truck Association

In plain words

1. January 13, 2026Filed in the House and sent to the Labor and Workforce committee
2. January 14, 2026House subcommittee named: Ingels, McBurney and Weldon
3. January 22, 2026Subcommittee recommended passing it