The Missouri House of Representatives’ Ways and Means Committee Tuesday night passed tax legislation that has long been on the Associated Industries of Missouri’s legislative agenda.
The committee, on a vote of 10 to 1, approved advancing House Bill 1582, sponsored by Rep. Mike Kelley (R-Lamar), legislation aimed at helping small businesses reduce some of the burdensome paperwork of withholding tax filing.
The legislation changes the amount of withholding tax that requires a quarterly return from $20/quarter to $100/quarter – allowing businesses with less than $100/quarter in withholding tax to file a withholding tax return just once per year. It’s estimated that the bill will decrease the number of returns filed with the Missouri Department of Revenue by about 20,000 per year.
House Bill 1435, sponsored by Rep. Andrew Koenig (R-Manchester), the House Ways and Means Committee Chairman, speeds up the process by which sellers get refunds in the event they overpay their sales taxes and ensure taxpayers that have paid taxes in error can get that money back from the state. The bill was also approved by the committee by a vote of 10 to 1.
“These pieces of legislation are common sense, but both have been vetoed in the past and we have tried to pass them for several sessions,” said Ray McCarty, president of Associated Industries of Missouri. “These ideas have been well vetted and we appreciate Chairman Koenig moving these bills so early in session. We hope they both can make it across the finish line and be signed by Governor Nixon.”
Both HB 1582 and 1435 now move on to the House Select Committee on Financial Institutions and Taxation.