Bill > HB522

This bill modifies the provisions governing income exempt from earnings tax by expanding the list of entities and income types that are not taxable under local tax ordinances. The bill adds a new exemption for citizens in cities not within a county who are considered low-income taxpayers, defining "low-income" as individuals with an annual income at or below $30,500. The bill retains the existing extensive list of tax-exempt organizations, which includes labor organizations, mutual savings banks, fraternal societies, credit unions, religious and charitable organizations, business leagues, civic leagues, farmers' associations, and various types of insurance and financial organizations. The bill also maintains existing exemptions for specific types of income, such as life insurance proceeds, workers' compensation payments, gifts and bequests, interest on government obligations, and income derived from public utilities performing government functions. The primary change is the addition of the low-income taxpayer exemption, which aims to provide tax relief for individuals with lower annual earnings in certain municipal areas.

https://house.mo.gov/Bill.aspx?bill=HB522&year=2025&code=R