HB 3226, titled "Missouri Earned Family and Medical Leave Act," actually modifies Missouri's income tax code rather than creating leave benefits. It adjusts federal adjusted gross income for state tax purposes by adding certain federal tax refunds (like those from pandemic relief) and interest, while subtracting specific items like interest on federal bonds. This directly affects all Missouri taxpayers by changing how federal tax items are treated in their state tax calculations. The bill contains technical tax provisions with no connection to family or medical leave policies.
SJR 120 is a constitutional amendment proposal (not a law) submitted to Missouri voters in 2026. It would require that counties receive state funding proportional to their tax contributions, defined as each county's share of state income and sales tax revenue. Counties receiving less funding than their tax contribution would trigger refunds to residents based on their income tax filings. This amendment directly affects how Missouri allocates general revenue funds to counties, aiming to limit state redistribution of tax dollars.
This proposed constitutional amendment would generally prohibit expanding Missouri's sales and use taxes to cover new services or transactions after January 1, 2015. However, it would allow expanding these taxes specifically to fund reductions in the state's individual income tax. Any revenue generated from such tax expansions would not count toward certain constitutional revenue limits. If approved by voters, it would require legislative action to adjust tax policies in line with these rules.
HJR 164 proposes a constitutional amendment in Missouri that would prohibit expanding state and local sales/use taxes to cover new services or transactions after January 1, 2015, unless the expansion is specifically intended to reduce or eliminate the state individual income tax. It would allow the legislature to broaden the sales tax base for this purpose and exempt such tax increases from certain revenue requirements and reporting rules. The amendment, if approved by voters, would directly affect Missouri taxpayers and lawmakers by restricting future tax expansions while creating a pathway to replace income tax with sales tax. This proposal requires voter approval in a 2026 election and is not yet law.
SB 1237 proposes replacing the current graduated income tax system with a flat 4% tax rate for all income levels. This change would directly affect individuals and businesses earning income within the state, as it would eliminate tiered tax brackets. The bill's key mechanism is the imposition of a uniform 4% tax rate on all taxable income, simplifying the calculation process. Currently pending in the legislative process (prefiled and awaiting first reading), the bill does not specify exemptions or adjustments for low-income earners.
HB 1785 creates a state income tax credit for Missouri taxpayers who donate to qualifying pregnancy resource centers. It offers tax credits of 50% (2007-2020), 70% (2021-2026), and 100% (2027+) of donations, up to $50,000 annually per taxpayer. To qualify, centers must provide free, non-abortion services (no abortions performed/referred) and meet strict criteria like in-person support and IRS tax-exempt status. The bill sets annual spending limits on total credits ($2.5M until 2019, then $3.5M until 2021, with no cap after 2021) and requires state verification of center eligibility.