Gov. Parson discusses vetoed legislation, calls for special session on tax breaks for Missourians

Governor Mike Parson announced he is vetoing four bills and planning a special session to pass...
Governor Mike Parson announced he is vetoing four bills and planning a special session to pass permanent tax relief for all Missouri taxpayers.(ky3)
Published: Jul. 1, 2022 at 1:51 PM CDT|Updated: Jul. 1, 2022 at 2:14 PM CDT
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JEFFERSON CITY, Mo. (KFVS) - Governor Mike Parson announced he is vetoing four bills and planning a special session to pass permanent tax relief for all Missouri taxpayers.

The governor also announced his plan to extend the sunset key agricultural tax credits.

The four bills vetoed include HB 2090, SB 724, HB 1720 and HB 1667.

According to the governor’s office, for those who had tax liability in 2021, HB 2090 authorized one-time $500 tax rebates for individuals making less $150,000 per year and $1,000 rebates for joint filers making less than $300,000 per year.

Alternatively, Governor Parson is proposing permanent tax relief for all taxpaying Missourians.

“We have managed our state resources responsibly and our consistent investment in workforce development and infrastructure is providing a strong foundation for Missouri. Now is the time to take additional steps to help alleviate the strain on Missouri families. Permanent tax cuts that provide real relief to families, senior citizens, the working class, and small businesses every year is a better answer to the inflationary pressures we face, and we look forward to getting it done,” Governor Parson said.

Governor Parson’s proposed tax plan includes reducing the individual income tax rate, increasing deductions and allowances for taxpayers and further simplifying the tax code.

HB 1720 established several new agricultural tax credit programs and re-authorized existing ones; however, the governor said the sunsets on the tax credits were only extended for two years.

“These two-year extensions are problematic and reduce the benefit to Missouri farmers and business owners,” he said. “Applicants often need a minimum of 24 months in order to secure the equity and private investment needed for projects. When a program is only guaranteed for a partial period of a projects development, businesses are less likely to invest.”

Governor Parson’s special session plan for agriculture tax credits and related priorities includes:

  • Extending the sunset on agriculture tax credits included in HB 1720 for a minimum of six years rather than two
  • Exempting certain agricultural equipment from state and local sales tax
  • Modifying the Family Farms Act to increase the number of small farmers that qualify for the program, and increasing the amount of loans available to the farmer

Both permanent tax relief and agriculture tax credits subjects will be addressed during a special session later in 2022.

According to the governor’s office, he is currently working with legislative leaders to identify a date for the special session call.

Once a date is selected, additional details and proposed bill language will be released.

Governor Mike Parson made the announcement during a news conference at 2 p.m. at the State Capitol.

Press Conference to Discuss Remaining Legislative Items

Press Conference to Discuss Remaining Legislative Items

Posted by Governor Mike Parson on Friday, July 1, 2022

On Friday, the governor signed eight more bills into law.

On Thursday, he signed the “No Patient Left Alone Act” into law and the state’s Fiscal Year 2023 budget bills.

On Wednesday, he signed House Bill 1878, which requires all Missourians to show a voter ID and repeals the use of mail-in ballots.

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