Iowa Corporate Tax – It’s Not “Finger-Licking Good”

“We’re Number One, We’re Number One!” While that doesn’t apply to the Cyclones, Panthers, Bulldogs or the Hawkeyes, it does apply to Iowa’s corporate income tax – it’s the highest stated rate in the nation. Now, the Iowa Supreme Court has held that the tax applies to royalties received by a company that has no assets or employees in Iowa. As a result of the Court’s decision, the Iowa Department of Revenue (IDOR) has taken an even more aggressive stance against out-of-state businesses.