Eliminating the state sales and use taxes and including effective date provisions

Where it is now

1. ✓
   Done: IntroducedFebruary 20, 2025
2. ✕
   Stopped: SubcommitteeDied when the General Assembly ended
3. Next: House committeeFunnel: by February 20, 2026
4. Next: Passes the House
5. Next: Senate committeeFunnel: by March 20, 2026
6. Next: Passes the Senate
7. Next: To the Governor
8. Next: Signed into law

Died when the session ended The General Assembly adjourned on October 2, 2026. Bills that didn’t pass both chambers died. What’s a funnel?

What’s in it

Beginning on after January 1, 2026, this bill reduces the statewide sales and use tax from percent to 0. By reducing the statewide sales tax to zero, the bill also eliminates the percent sales tax dedicated to the secure an advanced vision for education fund (SAVE). A local option tax adopted pursuant to Code chapter 423B is not reduced by the bill.

From the explanation printed with the bill as introduced, written by the Legislative Services Agency. Amendments adopted later aren’t reflected. Full bill text

Iowa Code it changes

Amends§423.2§423.5

Read from the bill as introduced. Each links to every bill touching that chapter of the Iowa Code. How the Code works