Tax Cuts | St. Louis Public Radio

Tax Cuts

This article first appeared in the St. Louis Beacon: At the start of a new statewide tour, Missouri Gov. Jay Nixon gave two more reasons – the state’s credit rating and school funding -- that he says make his veto of the tax-cut measure, HB 253, the right thing to do.

Mo. House Communications

The chair of a Missouri House committee looking at ways to downsize state government says they've handed off their findings to the Speaker's office.

Marshall Griffin/St. Louis Public Radio

A Missouri House committee looking at ways to downsize state government wrapped up its three-day tour across the state with three meetings Thursday, in St. Joseph, Columbia, and at the State Capitol in Jefferson City.

This article first appeared in the St. Louis Beacon: Missouri Gov. Jay Nixon offered up his strongest public support yet for some special transportation funding – such as the proposed transportation sales tax – although he emphasized the necessity of a public vote.

“It’s needed,’’ Nixon said, as he responded to questions posed Thursday by members of the Regional Chamber and Growth Association.

This article first appeared in the St. Louis Beacon: End state involvement in public education. Curb the state’s use of federal grants. Cut taxes to reduce state income. And legalize marijuana.

Those were among the most frequent suggestions posed Tuesday morning by many of the roughly 50 area residents – some of them state lawmakers -- who showed up in Clayton for the first in a series of hearings around the state this week by the Missouri House Committee on downsizing state government.

This article first appeared in the St. Louis Beacon: Gov. Jay Nixon used his veto pen more than ever this year. But he wants legislators to know he didn't do it to hurt their feelings.

Gov. Jay Nixon responds to a question about his pace of vetoing legislation at a bill signing in St. Louis.

This article first appeared in the St. Louis Beacon: The Missouri Chamber of Commerce plans to take the airwaves next week in support of overriding Gov. Jay Nixon’s veto of tax cut legislation.

The Missouri Chamber of Commerce plans to start running this ad on Monday.

This article first appeared in the St. Louis Beacon: Gov. Jay Nixon withheld nearly $400 million from the state’s 2014 budget, a move he attributed to uncertainty over a veto override of tax cut legislation.

Nixon, a Democrat, made the announcement in Jefferson City after signing bills on the state’s roughly $25 billion budget. In a statement, the governor said that he made the withholds because Republican lawmakers may try to override a tax cut bill – House Bill 253 – later this fall. Among other things, that bill cuts personal income, corporate and business taxes.

(Marshall Griffin/St. Louis Public Radio)

Updated at 4:55 p.m. with quotes from Gov. Nixon, Budget Dir. Luebbering, and several GOP legislative leaders.

Citing concerns that lawmakers will override his veto of an income tax bill, Governor Jay Nixon (D) announced today that he's frozen more than $400 million in spending from the state's budget for next year.

Marshall Griffin/St. Louis Public Radio

Governor Jay Nixon has launched a major public effort to support his veto last week of a bill that would have cut Missouri's individual and corporate income taxes.

The Democratic Governor appeared before college and university officials Tuesday morning in Jefferson City, telling them that the GOP-backed proposal is the single greatest threat to public education he's seen in his career.

(UPI/Bill Greenblatt)

Updated at 4:45 p.m. with responses from House Speaker Tim Jones (R, Eureka) and Mo. Senator Will Kraus (R, Lee's Summit).

Citing a lack of "fundamental fairness," Gov. Jay Nixon has vetoed legislation that would have reduced Missouri's income tax rates for the first time in more than 90 years.

The  bill would have gradually reduced corporate and individual income tax rates while also creating a new deduction for business income reported on individual income taxes.

This article first appeared in the St. Louis Beacon: Missouri Gov. Jay Nixon followed through Wednesday with his long-expected threat to veto a broad-based tax cut, and he used surprisingly blunt language as he did it.

In his veto letter, the governor called HB253 “an ill-conceived, fiscally irresponsible experiment that would inject far-reaching uncertainty into our economy, undermine our state’s fiscal health and jeopardize basic funding for education and vital public services.’’ 

This article first appeared in the St. Louis Beacon: Missouri’s state government appears on track to end this fiscal year with an unanticipated cushion of at least $300 million. The overall growth for FY2013 was about twice what had been predicted.

But state Budget Director Linda Luebbering  cautioned Tuesday that the May monthly figures also hint that the state’s spate of good financial news may be brief.

Tim Jones converses with supporters of Medicaid expansion.
Jo Mannies | St. Louis Beacon | 2013

This article first appeared in the St. Louis Beacon: Missouri House Speaker Tim Jones contends that Gov. Jay Nixon’s latest objection to the tax-cut measure sitting on his desk is “a red herring” that the governor is using to make his expected veto more palatable.

Jones, R-Eureka, was referring to the discovery by Nixon and his staff that the tax-cut bill, HB253, would eliminate the state’s longstanding sales tax exemption on prescription drugs.

This article first appeared in the St. Louis Beacon: Gov. Jay Nixon has upped the ante in his criticism of a broad-based tax cut bill awaiting his decision, saying Thursday that it removes a sales tax exemption for prescription drugs that will raise taxes for millions of Missourians.

Chris McDaniel, St. Louis Public Radio.

Democratic Governor Jay Nixon took part in a groundbreaking ceremony in Chesterfield Monday, where Reinsurance Group of America announced it is bringing 300 new jobs the area.

Republicans in the Missouri General Assembly passed a bill this year that would cut income taxes – aimed at attracting more businesses and competing with nearby states like Kansas.

Nixon will now have to decide whether to sign or veto the bill. But he told reporters afterward that drastic changes like the tax cut are bad for business.

This article first appeared in the St. Louis Beacon: Since the Missouri General Assembly adjourned on Friday, Gov. Jay Nixon hasn’t made much headway on the tall stack of bills awaiting his consideration.

Gov. Jay Nixon talks to reporters after RGA's groundbreaking ceremony in Chesterfield.

This article first appeared in the St. Louis Beacon: When state Rep. Scott Fitzpatrick tweeted earlier this month that this year’s veto session would be “interesting,” he may have made the understatement of the year.

The Shell Knob Republican’s quip was a more than tacit acknowledgement that the Missouri General Assembly sent numerous bills to Gov. Jay Nixon that might not meet his favor, including legislation restricting deduction of union dues to a broad-based tax cut.

Speaker Tim Jones and Majority Leader John Diehl confer during session's final hours
Tim Bommel | Missouri House Communications | 2013

This article first appeared in the St. Louis Beacon: With the exception of its laser focus on gun rights, the 97th session of the Missouri General Assembly that ended at 6 p.m. Friday pretty much reflected the recent tradition:

The Republican majority portrayed it an “immense success,’’ the Democrats called it an extremist failure and Gov. Jay Nixon declined to say.

Marshall Griffin/St. Louis Public Radio

Governor Jay Nixon (D) delivered a mixed report card Friday on the state budget and other bills passed by the Republican-controlled Missouri General Assembly this week.

While he complimented lawmakers for increasing funding for K-12 schools and higher education, he also criticized them for passing legislation that would cut state income tax rates for individuals and corporations.  He told reporters that the bill would gut state revenues by more than $800 million.

This article first appeared in the St. Louis Beacon: Gov. Jay Nixon indicated Friday that he had serious misgivings about a broad-based tax cut bill that the Missouri General Assembly has sent to his desk.

But Nixon, a Democrat, stopped short of saying whether he would sign or veto the measure, which was crafted to compete with neighboring states, such as Kansas, that have aggressively cut taxes.

The dome of the Missouri Capitol.
Flickr | jimbowen0306

A proposal to cut state income taxes in Missouri for both individuals and businesses is on its way to Governor Jay Nixon (D).

This article first appeared in the St. Louis Beacon: The Missouri House approved wide-reaching legislation cutting personal income, corporate and business taxes, sending the measure to Gov. Jay Nixon for consideration.

The House passed state Sen. Eric Schmitt's legislation, SB 253, Thursday by a vote of 103-51. That vote came a day after the Missouri Senate passed the bill by a vote of 24-9 and sent it to the House. Now Nixon will have to consider whether to sign or veto the bill.

Marshall Griffin/St. Louis Public Radio

Republicans in the Missouri Senate have scaled back a proposal to cut state taxes in order to emulate tax cuts in neighboring Kansas and Oklahoma.

Governor Jay Nixon (D) has strongly objected to the bill's sales tax hike, saying it would hurt the poor and elderly the most.  That provision has been dropped.  House Bill 253 would now cut the personal income tax rate by half a percentage point and the corporate rate by three points, and phase them both in over the next 10 years.  Republican Will Kraus of Lee’s Summit is handling the measure in the Senate.

Marshall Griffin/St. Louis Public Radio

The Missouri House has passed a Senate bill that would overhaul the state’s income and sales taxes, but not before making a few changes.

Marshall Griffin/St. Louis Public Radio

Legislation that would cut Missouri’s income tax while raising the sales tax was examined today by a State House committee.

This article first appeared in the St. Louis Beacon: Before leaving town for a trade trip to Asia, Missouri Gov. Jay Nixon made clear to the state Senate that he dislikes the business tax-cut package that the chamber has approved.

In particular, Nixon said in a statement that he “strongly opposes the large sales tax increase contained in” the bill, SB26.  

The Senate gave final approval to the measure on Tuesday, by a vote of 23-11. The supportive votes were exactly enough to override a possible Nixon veto. All 10 Democrats opposed the bill, along with one Republican.

This article first appeared in the St. Louis Beacon: State Sen. Eric Schmitt, R-Glendale, expects to be in a good mood this weekend, now that the core of his proposal to cut state business taxes is part of a broader bill that has won first round approval in the state Senate.

“It’s a pretty sweeping reform of the state tax code,’’ Schmitt said, adding that he believes Missouri is on track to see the biggest income tax changes since 1929.

UPI/Bill Greenblatt

The Missouri Senate has given first-round approval to a phased-in tax overhaul designed to help the Show-Me State compete with neighboring Kansas, which recently slashed its tax rates.

Senate Bill 26 would lower state income taxes for individuals and corporations by three-quarters of a percentage point while raising the state sales tax by half a point.  Both would be phased in over a five-year period.  State Senator Will Kraus (R, Lee’s Summit) says it would result in a revenue loss of around $450 million a year.

Marshall Griffin/St. Louis Public Radio

Missouri's response to last year's big tax cuts in neighboring Kansas could carry a $1.1 billion price tag.

A Missouri Senate committee on Monday endorsed a proposal to cut the state's individual and corporate income tax rates by 1.5 percentage points. The individual rate would fall to 4.5 percent, and the corporate rate to 4.75 percent.

Senate Republicans are looking to respond to Kansas' tax cuts, which they say have caused businesses to move from Missouri across the border.

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