© 2023 KRCU Public Radio
90.9 Cape Girardeau | 88.9-HD Ste. Genevieve | 88.7 Poplar Bluff
Play Live Radio
Next Up:
0:00 0:00
Available On Air Stations
The latest news from every corner of the state, including policy emerging from Missouri's capitol.

A bill reducing Missouri’s top income tax rate is headed to Gov. Parson

 The Missouri House of Representatives on the first day of the legislative session this past January at the Capitol in Jefferson City.
Brian Munoz
St. Louis Public Radio
The Missouri House of Representatives on the first day of the legislative session this past January at the Capitol in Jefferson City.

The top income tax rate in Missouri will be reduced to 4.95% next year and could go as low as 4.5% under a tax cut bill the state House of Representatives passed Thursday and is sending on to Gov. Mike Parson.

An income tax cut was one of two goals Parson cited when calling for the special session currently underway in Jefferson City.

The law also exempts the first $1,000 of taxable income after the standard deduction for all taxpayers, but it does not increase the standard deduction as Parson had requested.

“This bill means our administration will have cut Missourians' income tax rate by almost a full percentage point or a nearly 15% decrease,” Parson said in a statement, indicating he would sign the bill.

The legislature passed a one-time, nonrefundable tax credit earlier this year. Parson vetoed that bill, because he said it did not apply to enough people and was only temporary.

The House passed the Senate’s version Thursday on a 98-32 vote, but not without dissent, even from some lawmakers who supported it.

Bill Kidd, R-Buckner, voted for the measure but said legislators need to reduce taxes that affect poorer residents, namely property and personal property taxes.

“If you’re a low-bracket income earner, or you’re a fixed-income earner, this tax cut really isn’t going to do much for you at all. That’s the truth,” Kidd said.

Rasheen Aldridge, D-St. Louis, voted against the tax cut and said he’s upset the House stripped out a measure that would have lowered sales taxes on personal hygiene products, including diapers and tampons.

“You’re talking about items that are an essential need, not a luxury — talking about when people are struggling to keep their lights on and giving them some relief in their pocket when they have to purchase these items,” Aldridge said.

The House failed to pass an emergency clause, which means the measure cannot take effect immediately and will be implemented next year.

The legislature’s special session isn’t over yet. The House and Senate have yet to pass an agricultural tax credit plan, the other plank of Parson’s call for lawmakers to reconvene.

Both chambers are scheduled to return next week.

“Next week, we look forward to progress being made on the agriculture bill, so we can sign both pieces of legislation into law,” Parson said.

Follow Jonathan on Twitter: @JonathanAhl

Copyright 2022 St. Louis Public Radio. To see more, visit St. Louis Public Radio.

Jonathan is the General Manager of Tri States Public radio. His duties include but are not limited to, managing all facets of the station, from programming to finances to operations. Jonathan grew up in the south suburbs of Chicago. He has a B.A in music theory and composition from WIU and a M.A in Public Affairs Reporting from The University of Illinois at Springfield. Jonathan began his journey in radio as a student worker at WIUM. While in school Jonathan needed a summer job on campus. He heard WIUM was hiring, and put his bid in. Jonathan was welcomed on the team and was very excited to be using his music degree. He had also always been interested in news and public radio. He soon learned he was a much better reporter than a musician and his career was born. While at WIUM, Jonathan hosted classical music, completed operations and production work, was a news reporter and anchor, and served as the stage manager for Rural Route 3. Jonathan then went to on to WIUS in Springfield where he was a news anchor and reporter covering the state legislature for Illinois Public Radio. After a brief stint in commercial radio and TV, Jonathan joined WCBU in Peoria, first in operations then as a news reporter and for the last ten years of his time there he served as the News Director. Jonathan’s last job before returning to Tri States Public Radio was as the News Director/ Co-Director of Content for Iowa Public Radio. During Jonathan’s off time he enjoys distance running, playing competitive Scrabble, rooting for Chicago Cubs, listening to all kinds of music and reading as much as he can. He lives in Macomb with his wife Anita and children Tommy and Lily.