Iowa's 10-year business sale tax break - Is this common in other states?

2 pointslevirosol3 comments

I'm no tax guru, but this is the first time I've heard of this. Are there similar or better laws in other states?

http://www.iowabiz.com/2010/05/iowas-tenyear-business-sale-tax-break-what-do-you-need-to-have-for-ten-years.html

I can see it now: Iowa becomes the new startup capital!

Well, Iowa isn't known for having a good business climate in general and for taxes it has one of the worst in the nation. This gimmick only applies to the state capital gains tax for 10 year old assets (the details get complicated there) and isn't likely to make it significantly more attractive for startups.

Maybe it's for farms and the like.... In general Iowa strikes me as a state for farming and big companies, but I live at the other end of Missouri from it so my opinion on it isn't very informed.

"Maybe it's for farms and the like"

I think that's a valid statement. It's not a new law, and based on the article, there certainly are a number of additional rules that go with it.

It would be interesting to see how this would impact the start-up community in a state w/o a law like this, who then adds a similar law, but with say, a 5 year timeframe instead of 10.

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