SB 19 Places a cap on corporated franchise taxes and phases-out the corporate franchise tax over a five-year period
Sponsor: Schmitt
LR Number: 0336S.02T Fiscal Note: 0336-02T.ORG
Committee: Jobs, Economic Development and Local Government
Last Action: 4/26/2011 - Signed by Governor Journal Page: S1060-1061
Title: SCS SB 19 Calendar Position:
Effective Date: August 28, 2011
House Handler: Nolte

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Current Bill Summary

SCS/SB 19 - This act caps corporate franchise tax liabilities at the amount of each corporation's tax liability for the 2010 tax year. If a corporation did have a corporate franchise tax liability in 2010 because such corporation was not doing business within the state or did not exist, such corporation's franchise tax liability will be capped at the amount of such corporation's franchise tax liability for its first full-year of existence. Beginning January 1, 2012, the corporate franchise tax rate will be gradually reduced over a five year period until it is completely phased-out. Effective January 1, 2016, no corporate franchise tax will be imposed.