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Iowa Senate Leader Sees Tax Overhaul Possible
JOHNSTON, Iowa (AP) - The Legislature is expected to adjourn next month, but Senate Majority Leader Michael Gronstal says there's still a chance lawmakers could overhaul Iowa's tax system to give working families a tax cut.
The Council Bluffs Democrat says lawmakers are working on changes that would eliminate the ability of Iowans to deduct federal tax payments when calculating state tax liability. Iowa is among only a few states that allows the practice, which is especially beneficial to wealthy residents.
Gronstal says the extra tax revenue generated by the change could be returned to Iowans by lowering rates for middle-class families.
Gronstal spoke Friday during a taping of public television's "Iowa Press" program.
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