Authorizes a tax credit for a stillbirth
The implementation of this bill represents a significant change in state tax legislation, particularly in the context of how stillbirths are recognized and supported. By allowing a tax credit, the state is acknowledging the emotional and financial strain that families face during such difficult times. This law could serve to ease some of the financial burdens related to medical expenses and other costs that families may incur due to the loss of a child. However, the limited economic reach of the credit—being non-refundable and not transferable—could restrict its effectiveness, as not all families may have sufficient tax liability to take full advantage of the credit.
House Bill 1631 introduces a new tax credit specifically designed for individuals who experience a stillbirth. The bill amends Chapter 135 of the Revised Statutes of Missouri by adding section 135.342, which establishes the parameters for a $1,200 tax credit for qualified taxpayers. This credit is applicable for each birth resulting in a stillbirth, as documented by an official certificate of birth. The primary aim of the bill is to provide financial support and recognition for families dealing with the grief and loss associated with stillbirths. The tax credit is effective for tax years beginning on or after January 1, 2025, thereby giving families an immediate financial incentive during their time of bereavement.
Although the bill could garner support from advocates for parental rights and organizations focused on child loss, there may be contention regarding how this tax credit fits within broader tax policy frameworks. Critics may argue that the credit does not sufficiently address the comprehensive needs of bereaved families, instead focusing solely on providing tax relief rather than encompassing wider support systems. The regulation stipulating that the credit cannot be carried forward or refunded may also raise concerns among stakeholders who seek more flexible financial assistance for families affected by stillbirth.