HB 1017 -- Individual Income Taxes

Sponsor:  Oxford

Beginning January 1, 2008, upon voter approval, this bill changes
the laws regarding the Missouri individual income tax.  In its
main provisions, the bill:

(1)  Eliminates the deduction for federal income taxes paid which
is currently capped at $5,000 for a single taxpayer and $10,000
for a married couple;

(2)  Establishes a refundable tax credit of $150 per family
member including the taxpayer, the taxpayer's spouse, and the
taxpayer's dependents based on the taxpayer's Missouri adjusted
gross income.  A phase-out of the credit is established for
incomes between $30,000 and $50,000.  Taxpayers with incomes
greater than $50,000 are not eligible for the credit; and

(3)  Creates new income tax rates and brackets.  Currently, the
maximum rate is 6% for incomes greater than $9,000.  The new rate
maximum will be 9% for taxable incomes greater than $50,000.

Missouri House of Representatives
94th General Assembly, 1st Regular Session
Last Updated July 25, 2007 at 11:21 am