State legislators calling for tax relief in Jeff City

A bill that would cut corporate tax rates and reduce individual income taxes is making the rounds in the Missouri General Assembly.

House Bill 253 would cut the corporate tax rate in half and reduce individual income taxes by $384 million, to be phased in during a 10-year period, according to a news release from the Missouri Chamber of Commerce and Industry, which supports the legislation.

“One of the strongest economic development tools we can provide is broad-based tax relief, which is contained in this bill,” said Tracy King, Missouri chamber vice president of governmental affairs, in the release. “It allows existing businesses to keep more of their earnings to reinvest in workers and expansion.  

"At the same time, it gives prospective employers a strong reason to move to our state.  What’s more, it gives workers an opportunity to keep more of their paychecks.”

The bill, sponsored by Rep. T.J. Berry, R-Kearney, and handled in the Senate by Sen. Eric Schmitt, R-Glendale, was passed through the Senate yesterday and goes back before the House for approval, or legislators may call a conference with the Senate to work out differences.

According to the release, the bill contains protections for the state in case the economy falters. The tax reductions would not be implemented unless state tax collections exceed the highest collections from the previous three years by at least $100 million, the chamber said.[[In-content Ad]]