HCS HB 1150, 1237 & 1327 -- TAXATION:  NEGOTIATION OF TAX
LIABILITY

SPONSOR:  Hilgemann (Bray)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Ways and
Means by a vote of 16 to 0.

This substitute authorizes the Department of Revenue and the
Administrative Hearing Commission to negotiate with taxpayers or
their agents to compromise all or part of the tax liability of a
taxpayer in certain situations and with certain conditions.

FISCAL NOTE:  Estimated Net Loss to Various State Funds is
Unknown in FY 2003, FY 2004, and FY 2005.

PROPONENTS:  Supporters say that to allow these negotiations of
liability will actually result in an increase in state revenues.
Collecting some of the revenues is better than collecting none.
The federal government and most states allow some form of
negotiation of liability.  It will also give the Director of
Revenue the ability to abate tax assessments in certain cases
that are egregious to the taxpayer.

Testifying for the bill were Representatives Bray, Hegeman, and
Portwood; Williams Keeper; Missouri Chamber of Commerce;
Associated Industries of Missouri; Department of Revenue; and
Missouri Retailers Association.

OPPONENTS:  There was no opposition voiced to the committee.

Bill Tucker, Assistant Director of Research

Missouri House of Representatives
Last Updated October 11, 2002 at 9:00 am