Authorizes a tax credit for a stillborn child
The bill seeks to amend Chapter 135 of the Revised Statutes of Missouri by inserting a new section that specifically addresses the tax implications surrounding stillbirths. This change is intended to ease the financial burden on grieving families by potentially offsetting funeral or medical expenses incurred as a result of stillbirths. Additionally, the bill stipulates that the tax credit must be claimed in the year the stillbirth occurs, emphasizing the immediate need for financial support during difficult times.
Senate Bill 1123, introduced in the Missouri General Assembly, aims to provide financial support to families who experience stillbirths by authorizing a tax credit. This legislation allows eligible taxpayers to claim a tax credit of $2,000 for each stillbirth that occurs, contingent upon the child being a dependent as defined by federal tax law. The provision is set to take effect for all tax years starting January 1, 2023, making it a timely response to a sensitive issue faced by families across the state.
Despite its supportive nature, SB1123 may encounter discussions surrounding its implementation and the necessity of such tax relief measures. Some stakeholders may argue about the adequacy of the support provided by a $2,000 tax credit in relation to the emotional trauma and expenses associated with stillbirth. Furthermore, the bill includes provisions stating that tax credits cannot be transferable and cannot be claimed alongside other exemptions, possibly leading to debates about fairness and effectiveness in achieving its intended impact. The bill will also sunset automatically on December 31, 2028, unless reauthorized, which could be a point of contention in future legislative sessions.