HB 1551 – Eliminates corporate income tax. Authorizes a gradual elimination of the corporate income tax rate from 6.25% to 5% for 2009; 3.75% for 2010; 2.5% for 2011; 1.25% for 2012; and no corporate income tax will be imposed for 2013 and thereafter.

HB 1644 – Deductibility of all federal income tax liability for corporations. Allows full deductibility from state income tax of all federal income tax liability for corporations without a reduction for tax credits claimed.

HB 1645 – Deductibility of all federal income tax liability. Allows full deductibility from state income tax of all federal income tax liability without a reduction for tax credits claimed.

HB 1672 – Excise tax on controlled substances and illicit alcoholic beverages. (See Criminal Law)

HB 1694 – Property taxation. (See Local Government Law)

HJR 41 (See also SJR 41) – Limits state court judicistion. (See Judicial Administration)

HJR 43 – Hancock amendment. Proposes a constitutional amendment altering the rollback requirement for the Hancock amendment by requiring the current levy, not the maximum authorized levy, to be reduced to yield the same gross revenue for existing property as before an increase in assessed valuations, without an adjustment for changes in the general price level.

SB 743 – Taxation. This act makes various modifications to Missouri tax law.

(1) Decouples Missouri’s income tax from the federal income tax code. The act adopts the IRC as it was written January 1, 2004.

(2) Reinstates the decoupling from the federal accelerated depreciation and makes it permanent.

(3) Eliminates the timely filing discount for employers who withhold their employees’ income tax.

(4) Modifies the way losses and operating expenses are deducted among parties for various types of property, including intellectual property. Minimum standards are established regarding what connections among various corporate entities constitute related parties and affiliated groups for multi-state corporate income tax purposes. Under this provision, the entire profit of a unitary group will be aggregated and then divided among the members of the group. This allocation will be based upon the relative incomes of the members, without regard to intra-group transfers of these certain targeted operating expenses (“Geoffrey” scenario). The effect of this provision will be to eliminate income classified by the courts as “non-Missouri source income.”

(5) Eliminates the filing of single factor apportionment for multi-state income tax calculations.

(6) Restricts the current definition of “common carrier” for purposes of qualifying for a state and local sales and use tax exemption.

(7) Prohibits retailers from obtaining refunds of sales and use taxes without crediting the original purchasers. In the case of over-collections of less than $1,000, such over-collections may be refunded without the higher burden of returning the funds to the purchaser. The $1,000 threshold is an aggregate sum over a five-year period. In the alternative, a retailer, upon submission of an approved plan by the Director of the Department of Revenue, may offer fixed value coupons to customers to satisfy the distribution of the over-collections.

SB 893 – Tax deduction for providing health insurance. (See Labor/Employment Law)

SB 898 – Agriculture incentives and programs. (See Agricultural/Animal Law)

SB 940 – Business organizations. (See Business Law)

SB 1020 – Streamlined sales and use tax agreement. Brings Missouri sales and use tax laws into compliance with the streamlined sales and use tax agreement.