Missouri 2022 Regular Session

Missouri House Bill HB1590

Introduced
1/5/22  
Refer
1/6/22  
Report Pass
1/26/22  
Refer
1/26/22  
Report Pass
1/31/22  
Refer
2/9/22  
Report Pass
2/10/22  
Engrossed
2/23/22  
Refer
2/28/22  
Report Pass
5/3/22  
Refer
5/4/22  

Caption

Changes the laws regarding state contracts, taxation, and the Department of Economic Development

Impact

If passed, HB 1590 will repeal existing tax regulations and replace them with more favorable conditions for new businesses. This includes a three percent tax rate for the initial one hundred thousand dollars of taxable income for eligible new corporations in their first three years, promoting a more business-friendly environment. The Office of Entrepreneurship created by the bill will also focus on assisting minority-owned businesses, aiming to foster an inclusive economic landscape. The annual reporting requirements for the commissioner of administration will enhance transparency regarding the contracts awarded to newer firms, contributing to efforts towards equitable access to state resources.

Summary

House Bill 1590, also known as the "Right-to-Start Act", is a significant piece of legislation aimed at revising the framework for state contracts and encouraging the establishment and growth of new businesses in Missouri. The bill introduces incentives specifically geared towards new corporations, particularly those that are operational for less than three years. It enacts provisions that will enable eligible businesses to receive a reduced tax rate on income for the initial years of operation, thereby stimulating economic activity and promoting entrepreneurial investment in the state.

Sentiment

The sentiment surrounding HB 1590 appears largely positive, especially among proponents who argue that these changes present an opportunity to energize the local economy and provide critical support to nascent businesses, particularly those owned by minorities. Advocates emphasize that the legislation will level the playing field for newer enterprises, giving them a fighting chance against more established competitors. However, there are voices of caution among some stakeholders who express concern about the long-term viability of such tax reductions and whether they adequately balance state revenue needs with business support.

Contention

Notable points of contention in the discussions around HB 1590 center on the potential implications for existing businesses that do not qualify for these new benefits. Critics have raised concerns about fairness and whether the emphasis on new business incentives could inadvertently disadvantage long-standing companies that contribute to the state's economy. Additionally, the effectiveness of such tax incentives in truly driving economic development remains a subject of debate, with some arguing that it could lead to disparities in resource allocation and raise questions about the long-term sustainability of the benefits provided.

Companion Bills

No companion bills found.

Previously Filed As

MO LD803

An Act Regarding Department of Economic and Community Development Evaluations of State Investments in Economic Development

MO HB2295

Changes the laws regarding the dispensing of contraceptives

MO HB797

Changes the laws regarding the dispensing of contraceptives

MO HB2230

Changes the laws regarding the dispensing of contraceptives

MO HB1138

Changes the laws regarding the dispensing of contraceptives

MO HB633

Changes the laws regarding the taxation of feminine hygiene products and diapers

MO HB2272

Changes the laws regarding the taxation of feminine hygiene products and diapers

MO HB2257

Changes the laws regarding the taxation of feminine hygiene products and diapers

MO HB2241

Changes the laws regarding the taxation of feminine hygiene products and diapers

MO HB145

Changes the laws regarding the taxation of feminine hygiene products and diapers

Similar Bills

No similar bills found.