HB 2381 -- INCOME TAX DEDUCTION FOR BANKS FOR INTEREST EARNED ON
CERTAIN LOANS

SPONSOR:  Cunningham

COMMITTEE ACTION:  Voted "do pass" by the Committee on Financial
Institutions by a vote of 12 to 0.

Beginning January 1, 2010, this bill authorizes an income tax
deduction for a bank or lending institution for the amount of
income tax due on any taxable interest received from a loan made
to an individual or entity located within an enterprise zone.
The deduction will be 100% of the amount of the taxable interest
realized on the loan.

The provisions of the bill will expire December 31 six years from
the effective date.

FISCAL NOTE:  Estimated Cost on General Revenue Fund of Unknown
in FY 2011, FY 2012, and FY 2013.  No impact on Other State Funds
in FY 2011, FY 2012, and FY 2013.

PROPONENTS:  Supporters say that the bill will provide low
interest loans in enterprise zones, promoting economic growth for
Missouri.

Testifying for the bill were Representative Cunningham; Missouri
Bankers Association; and Missouri Independent Bankers
Association.

OPPONENTS:  There was no opposition voiced to the committee.

Missouri House of Representatives
95th General Assembly, 2nd Regular Session
Last Updated September 14, 2010 at 3:13 pm