POPULATION: 3,007,856 (2009)
LABOR FORCE: 1,674,900 (2010)
RIGHT TO WORK: Yes
TRADITIONAL INDUSTRIES: Value-added agriculture, manufacturing
EXPANDING INDUSTRIES: Renewable energy, information
solutions, financial services/insurance,
advanced manufacturing,
biosciences
COLLEGE GRADUATES: (Age 25 and over) 25.2%
BASIC BUSINESS TAXES:
Corporate Income Tax: Imposed
on net income from sales within
Iowa after deducting 50 percent of
federal corporate income tax; rates
are 6 percent on the first $25,000
or any part thereof; 8 percent on
the excess over $25,000 but less
than $100,000; 10 percent on the
excess over $100,000 but less than
$250,000; and 12 percent on the
excess over $250,000
Sales Tax: 6 percent on transactions
involving the transfer, exchange, or
barter of tangible personal property
on certain enumerated services
and gross receipts from the sale of
optional service of warranty contracts;
communities and schools
may impose a local option sales tax
Use Tax: 6 percent
Property Tax: Manufacturing
machinery and equipment, as well
as computers used to process data,
are exempt from taxation; pollutioncontrol
equipment is also exempt.
BUSINESS INCENTIVES
Grow Iowa Values Financial
Assistance Program (GIVF)
Economic Development Set–Aside
Program — EDSA (loans, grants)
Iowa Demonstration Fund (prototype
development)
Information Technology Joint
Venture Fund
TAX CREDIT PROGRAMS:
• Enterprise zones
• High Quality Jobs Program
Public Facilities Set-Aside Program
— PFSA (infrastructure improvements)
Iowa New Jobs Training Assistance
Targeted Small Business Financing
— TSB (loans, grants)
Iowa Self-Employment — ISE
(loans)
Export Trade Assistance Program
Urban revitalization areas
Tax exemptions for industrial property
Tax credits for new employees and
research & development
Local Tax Increment Financing
Authority
Federal SBA direct loans and guaranteed
loan programs
