Treasurer Schmitt confirms 2019 tax relief triggered by state revenue growth
Wednesday, July 11, 2018
JEFFERSON CITY, Mo — Missouri State Treasurer Eric Schmitt today confirmed that Missourians will see income tax rate reductions in 2019 as a result of legislation he championed during his time in the Missouri State Senate.
Triggered by state revenue growth, Missouri’s highest income tax rate is set to fall from 5.9 percent to 5.8 percent for 2019 tax filings. This follows 2018’s initial reduction from 6.0 percent to 5.9 percent. House Bill 2540, passed by the legislature this year, would further reduce the rate to 5.4 percent and eliminate the obsolete top bracket if it were to become law.
“For far too long, Missouri’s economy has lagged behind our competitors,” Schmitt said. “Delivering greater tax relief for hardworking Missourians will result in more jobs, more opportunity and a stronger state economy.”
Last year’s initial reduction from 6.0 percent to 5.9 percent, which came as a result of Senate Bill 509 passed in 2014, marked the first individual income tax rate reduction in 100 years.
State revenue growth also means the amount of business income small business owners can deduct from their individual taxes will increase from 5 percent to 10 percent for 2019 filings, an increase of 5 percent over the previous year.