FIRSTREGULARSESSION
HOUSEBILLNO.1345
102NDGENERALASSEMBLY
INTRODUCEDBYREPRESENTATIVEHARDWICK.
2558H.01I DANARADEMANMILLER,ChiefClerk
ANACT
Toamendchapter135,RSMo,byaddingtheretoonenewsectionrelatingtoawork
opportunitytaxcredit.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Chapter135,RSMo,isamendedbyaddingtheretoonenewsection,tobe
2knownassection135.465,toreadasfollows:
135.465.1.Asusedinthissection,thefollowingtermsmean:
2 (1)"Barrierstoemployment",thesamemeaningassuchtermisusedforthe
3federalworkopportunitytaxcreditforamemberofatargetedgroupunderSection51
4oftheInternalRevenueCode;
5 (2)"Federalworkopportunitycredit",theworkopportunitytaxcreditallowed
6underSection51oftheInternalRevenueCode;
7 (3)"Qualifiedtaxpayer",anyindividualorentitysubjecttothestateincometax
8imposedunderchapter143,147,148,or153,excludingthewithholdingtaximposed
9undersections143.191to143.265,whoisanemployerthatincurredorpaidwagestoan
10individualwithbarrierstoemploymentandwasemployedinthestateduringthetax
11yearforwhichthetaxcreditunderthissectionisclaimed;
12 (4)"Taxcredit",acreditagainstthetaxotherwisedueunderchapter143,147,
13148,or153,excludingwithholdingtaximposedundersections143.191to143.265.
14 2.ForalltaxyearsbeginningonorafterJanuary1,2024,aqualifiedtaxpayer
15shallbeallowedtoclaimataxcreditagainstthetaxpayer'sstatetaxliabilityforwages
16paidorincurredbythequalifiedtaxpayerduringthetaxyeartoanindividualwith
17barrierstoemploymentwhoisemployedinthestateinanamountequaltothelesserof:
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 18 (1)Onehundredpercentofthefederalworkopportunitycreditproperly
19claimedforthetaxyearbyaqualifiedtaxpayeronsuchtaxpayer'sfederalincometax
20returnwithrespecttosuchwages,excludinganyamountcarriedbackorforwardfrom
21anothertaxyearinaccordancewithSection39oftheInternalRevenueCode;or
22 (2)TheMissouriincometaximposedforthattaxyear,exceptinthecaseofan
23employerthatisanorganizationexemptfromtaxationunderSection501(c)ofthe
24InternalRevenueCode.
25 3.AnemployerthatisanorganizationexemptfromtaxationunderSection501
26(c)oftheInternalRevenueCodemayapplythecreditunderthissectionasacreditfor
27thepaymentoftaxesthattheorganizationisrequiredtowithholdfromthewagesof
28employeesandrequiredtopaytothestate.
29 4.Taxcreditsissuedundertheprovisionsofthissectionshallnotberefundable.
30Notaxcreditclaimedunderthissectionshallbecarriedforwardtoanysubsequenttax
31year.
32 5.Notaxcreditclaimedunderthissectionshallbeassigned,transferred,sold,or
33otherwiseconveyed.
34 6.Thedepartmentofrevenueshallpromulgateallnecessaryrulesand
35regulationsfortheadministrationofthissection.Anyruleorportionofarule,asthat
36termisdefinedinsection536.010,thatiscreatedundertheauthoritydelegatedinthis
37sectionshallbecomeeffectiveonlyifitcomplieswithandissubjecttoallofthe
38provisionsofchapter536and,ifapplicable,section536.028.Thissectionandchapter
39536arenonseverableandifanyofthepowersvestedwiththegeneralassembly
40pursuanttochapter536toreview,todelaytheeffectivedate,ortodisapproveandannul
41arulearesubsequentlyheldunconstitutional,thenthegrantofrulemakingauthority
42andanyruleproposedoradoptedafterAugust28,2023,shallbeinvalidandvoid.
43 7.Undersection23.253oftheMissourisunsetact:
44 (1)Theprovisionsofthenewprogramauthorizedunderthissectionshall
45automaticallysunsetDecemberthirty-firstsixyearsaftertheeffectivedateofthis
46sectionunlessreauthorizedbyanactofthegeneralassembly;
47 (2)Ifsuchprogramisreauthorized,theprogramauthorizedunderthissection
48shallautomaticallysunsetDecemberthirty-firsttwelveyearsaftertheeffectivedateof
49thereauthorizationofthissection;and
50 (3)ThissectionshallterminateonSeptemberfirstofthecalendaryear
51immediatelyfollowingthecalendaryearinwhichtheprogramauthorizedunderthis
52sectionissunset.
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HB1345 2