Over the last several years, I have had a goal of helping Iowans find a way to keep more of their hard-earned dollars. The state now has a healthy projected ending balance for the current fiscal year of over $800 million.
This money is not ours. It is the citizens of Iowa hard-earned dollars collected through over taxation. I want to return this money to the people. In order to accomplish this, bills have been filed that would remove the cap on the Taxpayer Trust Fund and return these funds to the taxpayers that have made these overpayments.
The Taxpayer Trust Fund was established in 2011 to capture and set aside over-collection of taxpayer dollars. The amount of money transferred each year into the Trust Fund is determined by subtracting the adjusted revenue estimate for that year from the actual revenues received. The difference, up to $60 million, gets transferred into the Trust Fund for the following fiscal year.
The balance in the Trust Fund after two fiscal years is projected to be $120 million. If we are successful in passing bills to remove the cap, and transfer the ending balance into the fund, the projected balance in the Fund will grow to almost $800 million for FY 2014 instead of just $120 million. That is a lot more money that can be put back into family budgets throughout the state.
Family budgets have been tight and with such a large ending balance in the state bank, we can provide this money and should not delay! Now is the time to ease the tax burden on Iowans and help stimulate the state economy.
I support returning this money to every Iowa taxpayer in the form of a check rather than a tax credit, which has been recommended. The preliminary estimate is at $750.00 per family.
State Senator Brad Zaun represents Iowa Senate District 20 which includes Urbandale.
Tags: Brad Zaun, Budget Surplus, taxpayer trust fund