Bill > HB1793

This bill modifies the income tax exemption provisions for municipal earnings taxes by expanding the list of entities and individuals whose income is not taxable. Specifically, the bill adds a new category of tax exemption for low-income taxpayers, defined as individuals with an income at or below 150% of the federal poverty level. The exemption would apply to all income received as salaries, wages, commissions, and other compensation. The bill repeals the previous section of law and replaces it with this updated version, which maintains the existing list of tax-exempt organizations (such as labor organizations, religious and charitable organizations, mutual insurance companies, and others) while adding the new low-income taxpayer provision. The modification aims to provide tax relief for individuals with limited financial resources by ensuring that their earnings are not subject to municipal income taxation. This change could potentially help lower-income residents by reducing their tax burden and increasing their take-home pay.

https://house.mo.gov/Bill.aspx?bill=HB1793&year=2026&code=R