HCS HB 1467 & 903 -- SENIOR CITIZENS' HOMESTEAD TAX RELIEF ACT

SPONSOR:  Cooper, 120 (Sutherland)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Tax Policy
by a vote of 15 to 2.

This substitute changes the qualifications for and the amount of
credit allowed under the senior citizen/disabled person property
tax credit, commonly known as circuit breaker.  The substitute
renames the program the Senior Citizens' Homestead Tax Relief
Act.

The substitute also:

(1)  Increases from $25,000 to $25,500 the maximum income allowed
to claim the credit and indexes the new amount by the increase in
the Consumer Price Index in increments of $50; and

(2)  Increases from $13,000 to $13,300 the minimum base and
indexes the new amount by the increase in the Consumer Price
Index in increments of $50.  The minimum base is the maximum
level of income at which the taxpayer receives a credit for
property taxes paid up to the maximum of $750.

FISCAL NOTE:  Estimated Effect on General Revenue Fund of an
income of $0 in FY 2005, a cost of $1,393,264 in FY 2006, and a
cost of $2,747,221 in FY 2007.  No impact on Other State Funds in
FY 2005, FY 2006, and FY 2007.

PROPONENTS:  Supporters say that they support these changes to
the credit.

Testifying for the bill were the Cooperating School Districts of
Greater Kansas City; Missouri School Boards Association; School
Administrator Coalition; and Missouri National Education
Association.

OPPONENTS:  There was no opposition voiced to the committee.

Karla Strobel, Legislative Analyst

Missouri House of Representatives
92nd General Assembly, 2nd Regular Session
Last Updated September 23, 2004 at 11:15 am