SCS/SB 548 -This act modifies the provisions of several tax credit programs and certain taxpayer's eligibility for particular tax credit programs.
The act sunsets all tax credit programs, which are not currently subject to the Missouri Sunset Act, effective January 1, 2016, except that tax credit programs that do not currently have a sunset, but are given a sunset by this act are subject to the sunset provided in this act. (Section 135.822)
CIRCUIT BREAKER TAX CREDIT
(Sections 135.010, 135.025, and 135.030)
This act repeals provisions of the Missouri property tax credit, commonly referred to as the circuit breaker tax credit, which allow renters to receive the property tax credit for rent constituting taxes paid.
LOW-INCOME HOUSING TAX CREDITS
This act also modifies the low-income housing tax credit program.
The act establishes a one hundred ten million dollar cap for authorizations of 9% low-income housing tax credits for FY 2013. For each subsequent fiscal year from FY 2014 to FY 2016 the amount of 9% low-income housing tax credits which may be authorized is gradually reduced such that beginning FY 2016, no more than seventy million dollars in 9% low-income housing tax credits may be authorized each fiscal year.
Authorizations of 4% low-income housing tax credits are capped at fifteen million dollars for FY 2013. For the next two fiscal years the amount of 4% low-income housing tax credits which may be authorized is reduced by five million dollars each year. After June 30, 2015, no more 4% low-income housing tax credits may be authorized.
The stacking of state 9% low-income housing tax credits with state historic preservation tax credits for the same project is prohibited. The carry-back for low-income housing tax credits is reduced from three years to two years.
The act prohibits the authorization of further tax credits under this program after August 28, 2018.
HISTORIC PRESERVATION TAX CREDITS
(Sections 253.550, 253.557, and 253.559)
This act modifies the amount of historic preservation tax credits that the Department of Economic Development is permitted to authorize each fiscal year, beginning with fiscal year 2013.
Under current law, the Department of Economic Development is prohibited from issuing more than one hundred forty million dollars in historic preservation tax credits in any fiscal year for projects which will receive more than two hundred and seventy-five thousand dollars in tax credits. Beginning fiscal year 2013, and each fiscal year thereafter, this act would prohibit the Department of Economic Development from approving more than seventy-five million dollars in historic preservation tax credits increased by the amount of any recisions of approved applications for such credits. Projects which would receive less than two hundred seventy-five thousand dollars in tax credits will be subject to a ten million dollar fiscal year cap. The act prohibits the authorization of further tax credits under this program after August 28, 2018.
The act prohibits the department from issuing more than one hundred twenty-five thousand dollars in historic preservation tax credits per project for non-income producing residential rehabilitation projects.
Applicants for projects that, as the effective date of this act, have: received approval from the Department of Economic Development; incurred certain levels of expenses; or received certification from the state historical preservation officer will not be subject to the new limitations on tax credit issuance, but will be subject to the current law limitations on tax credit issuance.
The act also prohibits the stacking of state historic preservation tax credits with state 9% low-income housing tax credits. Historic preservation tax credits will now be capable of being carried back one year or forward five years.
VERIFICATION THAT TAX CREDIT APPLICANTS PAID TAXES
(Sections 135.815 and 135.967)
Current law requires that a state agency administering a tax credit verify with the Department of Revenue and the Department of Insurance, Financial Institutions and Professional Registration that the applicant for the tax credit is not delinquent on certain state taxes. This act requires the state agency to also verify that the applicant for the tax credit does not owe any delinquent property taxes or federal taxes.
Currently, if the applicant for the tax credit is delinquent on these state taxes, the agency may authorize tax credits, but the amount of tax credits issued is reduced by the amount of the applicant's delinquency. This act prohibits the state agency from authorizing the tax credit application, until the applicant for the tax credit has remedied the delinquent taxes, or made arrangements to remedy the delinquent taxes.
WOOD ENERGY PRODUCERS TAX CREDIT
Currently, the Wood Energy Tax Credit program may not authorize further tax credits after June 30, 2013. This act allow tax credits to be authorized under this program until June 30, 2016.
CERTAIN SOCIAL AND CONTRIBUTORY TAX CREDITS
The Public Safety Officer Surviving Spouse Tax Credit program currently sunsets on August 28, 2013. This act extends the sunset to August 28, 2016. (Section 135.090)
The Children in Crisis Tax Credit program currently provides an income tax credit for contributions to child advocacy centers, crisis care centers, and entities that receive funding from the Court-Appointed Special Advocate Fund. This act extends the sunset on this tax credit program from August 28, 2012 to August 28, 2015. (Section 135.327)
This act extends the sunset from December 2013 to December 2016 on the section of law that creates the tax credit for certain taxpayers who modify their homes to make them accessible for a disabled resident. (Section 135.562)
Under current law, the provisions of law authorizing a tax credit for contributions to pregnancy resource centers will sunset August 28, 2012. This act reauthorizes these provisions until August 28, 2015. (Section 135.630)
This act modifies the sunset of the tax credit for donations to food pantries, so that the program that expired August 28, 2011 expires August 28, 2015. (Section 135.647)
The act extends the sunset on the residential treatment agency tax credit from August 28, 2012, to August 28, 2015. (Section 135.1150)
The act creates an income tax credit equal to fifty percent of the amount of an eligible donation made, on or after January 1, 2012, to a qualifying developmental disability care provider. The tax credit may not be applied against withholding taxes. The tax credit is non-refundable, but may be carried forward four years. The tax credit is transferable. A provider may apply to the Department of Social Services for the tax credits. The provisions of this act shall automatically sunset August 28, 2015. (Section 135.1180)
ELIGIBILITY OF CERTAIN TAXPAYERS FOR PARTICULAR ECONOMIC DEVELOPMENT PROGRAMS
This act makes a taxpayer that acquires a facility from a company that has a federal contract ineligible for tax incentives or grants under the Business Facility Tax Credit program, the Business Use Incentives for Large Scale Development program, the Development Tax Credit program, the Rebuilding Communities Tax Credit program, the Enhanced Enterprise Zone Tax Credit program, and the Missouri Quality Jobs program, when the taxpayer will use the facility for a similar business.
This act has an emergency clause.
Provisions of this act are similar to SB 481 (2012), SB 532 (2012), SB 582 (2012), SB 708 (2012), SB 724 (2012), SB 906 (2012), SB 8 (1st Ext. Session 2011); SB 140 (2011), and SB 185 (2011).