The Legislature has approved a plan lawmakers say will reduce property taxes for Iowa homeowners by about $4 billion over the next six years.
After almost five months of negotiations, the bill was approved Sunday in the closing hours of the 2026 Iowa legislative session.
Iowa homeowners would receive a homestead tax exemption of up to $20,000. The bill also includes a 2% limit on annual property tax revenue growth for cities and counties, although the cap would not apply to revenue used to pay debts, employee benefits or liability insurance.
Gov. Kim Reynolds plans to sign the bill into law.
The House and Senate convened early Saturday morning and adjourned for the year early Sunday evening.
