Bills › 91st General Assembly
Creating a state work opportunity tax credit available against the individual and corporate income taxes, and including retroactive applicability provisions
Sponsored by Rep. Chad Ingels (R)
Where it is now
- Done: IntroducedJanuary 13, 2026
- Done: SubcommitteeJanuary 14, 2026
- Stopped: House committeeDied when the General Assembly ended
- Next: Passes the House
- Next: Senate committeeFunnel: by March 20, 2026
- Next: Passes the Senate
- Next: To the Governor
- Next: Signed into law
Died when the session ended The 2026 session adjourned on May 3, 2026, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?
What’s in it
AI summary Iowa businesses and individuals can receive a tax credit for hiring people who may have trouble finding jobs. This credit matches the amount provided by the federal government and can be used to lower state income taxes. If the credit is larger than what is owed one year, it can be used to pay taxes the following year.1
Read the official explanation
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. On January 22, 2026 it recommended passage.
Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part