Missouri Senate Panel Approves Income Tax Cut Plan
JEFFERSON CITY, Mo. (AP) — A Missouri Senate panel has endorsed an income tax cut for businesses and individuals.
The legislation backed Thursday by the Senate Ways and Means Committee would gradually reduce Missouri’s top individual income tax rate from 6 percent to 5 percent over a decade. It also would phase in a 50 percent deduction over five years for business income reported on individual income tax returns.
The incremental tax cuts would take effect only as long as Missouri’s net general revenues rose by at least $100 million over the high mark from the previous three years.
The legislation also grants an additional $1,000 tax deduction to people with incomes below $20,000.
The committee’s approval of the legislation means it could be one of the first measures debated this year in the Senate.