FIRST EXTRAORDINARY SESSION
HOUSE COMMITTEE SUBSTITUTE FOR
SENATE COMMITTEE SUBSTITUTE FOR
SENATE BILL NOS. 3, 8 & 9
91ST GENERAL ASSEMBLY
Reported from the Committee on Ways and Means, September 11, 2001, with recommendation that the House Committee
Substitute for Senate Committee Substitute for Senate Bill Nos. 3, 8 & 9 Do Pass.
TED WEDEL, Chief Clerk
AN ACT
To repeal section 143.171, RSMo, and to enact in lieu thereof one new section relating to the deduction for the federal credit or advance refund of the credit for the 2001 tax year allowed pursuant to section 6428 of the Internal Revenue Code, with an emergency clause.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Section 143.171, RSMo, is repealed and one new section enacted in lieu thereof, to be known as section 143.171, to read as follows:
143.171. 1. For all tax years beginning before January 1, 1994, for an individual taxpayer and for all tax years beginning before September 1, 1993, for a corporate taxpayer, the taxpayer shall be allowed a deduction for [his] the taxpayer's federal income tax liability under chapter 1 of the Internal Revenue Code for the same taxable year for which the Missouri return is being filed after reduction for all credits thereon, except the credit for payments of federal estimated tax, the credit for the overpayment of any federal tax, and the credits allowed by the Internal Revenue Code by section 31 (tax withheld on wages), section 27 (tax of foreign country and United States possessions), and section 34 (tax on certain uses of gasoline, special fuels, and lubricating oils).
2. For all tax years beginning on or after January 1, 1994, an individual taxpayer shall be allowed a deduction for [his] the taxpayer's federal income tax liability under chapter 1 of the Internal Revenue Code for the same taxable year for which the Missouri return is being filed, not to exceed five thousand dollars on a single taxpayer's return or ten thousand dollars on a combined return, after reduction for all credits thereon, except the credit for payments of federal estimated tax, the credit for the overpayment of any federal tax, and the credits allowed by the Internal Revenue Code by section 31 (tax withheld on wages), section 27 (tax of foreign country and United States possessions), [and] section 34 (tax on certain uses of gasoline, special fuels, and lubricating oils), and section 6428 (credit for the accelerated ten percent income tax rate bracket for tax year 2001, including any advance refund of the credit allowed the taxpayer pursuant to subsection (e) of section 6428. This exception shall apply only to the taxpayer's first tax year beginning on or after January 1, 2001.).
3. For all tax years beginning on or after September 1, 1993, a corporate taxpayer shall be allowed a deduction for fifty percent of its federal income tax liability under chapter 1 of the Internal Revenue Code for the same taxable year for which the Missouri return is being filed after reduction for all credits thereon, except the credit for payments of federal estimated tax, the credit for the overpayment of any federal tax, and the credits allowed by the Internal Revenue Code by section 31 (tax withheld on wages), section 27 (tax of foreign country and United States possessions), and section 34 (tax on certain uses of gasoline, special fuels and lubricating oils).
4. If a federal income tax liability for a tax year prior to the applicability of sections 143.011 to 143.996 for which [he] the taxpayer was not previously entitled to a Missouri deduction is later paid or accrued, [he] the taxpayer may deduct the federal tax in the later year to the extent it would have been deductible if paid or accrued in the prior year.
Section B. Because immediate action is necessary to provide for the deductibility of certain advance federal income tax payments, section A of this act is deemed necessary for the immediate preservation of the public health, welfare, peace, and safety, and is hereby declared to be an emergency act wit be in full force and effect upon its passage and approval.