Bill
Bill > HB421
MO HB421
Authorizes an income tax exemption for certain state employees whose state wages or salary are at or below six times the federal poverty guidelines
summary
Introduced
01/08/2025
01/08/2025
In Committee
05/15/2025
05/15/2025
Crossed Over
Passed
Dead
05/16/2025
05/16/2025
Introduced Session
2025 Regular Session
Bill Summary
Authorizes an income tax exemption for certain state employees whose state wages or salary are at or below six times the federal poverty guidelines
AI Summary
This bill proposes a state income tax exemption for certain Missouri state employees whose state wages or salary are at or below six hundred percent of the federal poverty guidelines. The bill defines key terms, including "federal poverty guidelines" (updated annually by the U.S. Department of Health and Human Services), "state employee" (full-time or part-time workers employed by the state of Missouri, excluding elected officials, contractors, and commissioned workers), and "qualified state employee income" (wages or salaries from state employment up to the specified poverty guideline threshold). Beginning January 1, 2026, state employees meeting these criteria would be exempt from state income tax on their qualifying state employment wages, with any income exceeding the threshold remaining taxable. The exemption would be applied before other legal deductions when calculating Missouri adjusted gross income, and the Department of Revenue is authorized to create regulations to implement this tax exemption. The bill aims to provide tax relief for lower-income state employees by reducing their state tax burden.
Sponsors (1)
Last Action
Referred: Emerging Issues(H) (on 05/15/2025)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
Document Type | Source Location |
---|---|
State Bill Page | https://house.mo.gov/Bill.aspx?bill=HB421&year=2025&code=R |
Analysis - Summary: Introduced | https://documents.house.mo.gov/billtracking/bills251/sumpdf/HB0421I.pdf |
BillText | https://documents.house.mo.gov/billtracking/bills251/hlrbillspdf/0523H.01I.pdf |
Loading...