Democrats in the Iowa Senate made the first move on property tax reform Thursday.
They proposed a plan to reduce commercial property taxes that would phase in a tax credit equal to 40 percent on the first $324,000 of assessed property value. The plan would cost about $250-million.
Lawmakers say the plan would apply to 80-percent of the state’s commercial properties. Those worth more would see a smaller percentage break.
Supporters say the plan would more effectively help small businesses and cost less than Governor Branstad’s plan, which offers a 20-percent cut for all businesses. That proposal would come at a cost of about $350 million.