Reactions to Vilsack’s tax credit proposal mixed

Katie Norris

Campus reactions are mixed over Gov. Tom Vilsack’s proposed tax credit for college graduates who remain in Iowa after graduation.

Students who graduate from Iowa colleges, remain in the state and pay income tax are eligible for the tax credit.

Earl Dowling, director of student financial aid, said he is waiting for more information before he advises students.

“Tuition tax credits at face value seem to be a good idea and a workable plan,” Dowling said. “Once the details are released, then many of us will be in a position to evaluate this plan a little more thoroughly and carefully.”

He said details on the proposal will be released in a few days, allowing students to closer evaluate their future plans.

The proposed legislation comes on the heels of Vilsack’s proposed budget cuts of almost $47 million to Iowa’s state universities. It also has heightened debate surrounding the pending tuition increase.

“I think that people are anxious for any initiatives, and so I agree with Andy Tofilon, [Government of the Student Body] president, that this is encouraging,” Dowling said.

ISU students weighed whether the tax credit would be enough reason to stay in Iowa.

“[The state is] only going to give you so many hundreds of dollars,” said Rebekah Hart, senior in art and design. “That’s not worth it for me. I’d rather just leave.”

Alicia Johnston, senior in marketing, also was skeptical of the tax cut.

“I don’t think that the reason people leave is about how much they’re getting back from the state,” she said. “It’s about experiencing something new and seeing what somewhere else has to offer. Nothing else is going to change just because of the tax credit. There’s no new companies that are here.”

The money saved could give Iowa an edge over other states.

“Kids care about money,” said Matt Fausch, junior in elementary education. “I think it would be a big incentive.”

Rick McMichael, sophomore in agricultural engineering, said the proposal’s effectiveness will rest on the monetary payback.

“It depends on how much the tax cut is and how much people don’t have to pay,” he said.

McMichael said he intends to stay in Iowa, regardless of the tax credit’s success or failure, because it’s his home.

Other students had suggestions on how to improve the success of the proposal.

“I think that it would probably be better if [the credit] was for anyone attending an Iowa school, even if they’re out of state, to help keep them here once they’ve graduated,” said Megan Tomjack, freshman in psychology.