SB 713 - This act establishes the "Missouri Sales Tax Fairness Tax Credit Act." For all tax years beginning on or after January 1, 2021, this act allows a taxpayer a tax credit equal to $125 for taxpayers filing single, and $175 for taxpayers filing married filing combined, head of household, or qualified widow or widower, with an additional $25 or $50 for taxpayers claiming the federal Child Tax Credit, as described in the act.
The tax credit shall be phased out based on filing status and income. For taxpayers filing single, for each $500 in excess of $20,000 Missouri adjusted gross income, the credit shall be reduced by $10. For taxpayers filing head of household or qualified widow or widower, for each $750 in excess of $30,000 Missouri adjusted gross income, the credit shall be reduced by $15. For taxpayers filing married filing combined, for each $1,000 in excess of $40,000 Missouri adjusted gross income, the credit shall be reduced by $20.
The tax credit is not transferable, but shall be refundable.
JOSH NORBERG