COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:0989H.01I Bill No.:HB 766 Subject:Professional Registration and Licensing; Department of Revenue; Taxation and
Revenue - General
Type:Original Date:February 11, 2025Bill Summary:This proposal repeals provisions relating to suspension of professional
licenses for failure to pay state taxes or file state tax returns.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on General
Revenue $0$0$0
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on Other State
Funds $0$0$0
Numbers within parentheses: () indicate costs or losses. L.R. No. 0989H.01I
Bill No. HB 766
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ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2026FY 2027FY 2028Total Estimated Net
Effect on FTE 000
☐ Estimated Net Effect (expenditures or reduced revenues) expected to exceed $250,000 in any
of the three fiscal years after implementation of the act or at full implementation of the act.
☐ Estimated Net Effect (savings or increased revenues) expected to exceed $250,000 in any of
the three fiscal years after implementation of the act or at full implementation of the act.
ESTIMATED NET EFFECT ON LOCAL FUNDSFUND AFFECTEDFY 2026FY 2027FY 2028Local Government$0$0$0 L.R. No. 0989H.01I
Bill No. HB 766
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FISCAL ANALYSIS
ASSUMPTION
Officials from the Department of Health and Senior Services (DHSS) assume the proposed
legislation repeals Section 324.010, which provides that professional licenses shall be suspended
for failure to pay state taxes or file state income tax returns. Per the current statute, all
governmental entities issuing professional licenses, certifications, registrations, or permits,
pursuant to sections 209.319 to 209.339, sections 214.270 to 214.516, sections 256.010 to
256.453, section 375.014, sections 436.005 to 436.071, and chapter 317 and chapters 324 to 346,
must provide the Department of Revenue with the name and social security number of licensees
for verification of tax compliance.
Currently, Section 324.010 requires the Board of Nursing Home Administrators (BNHA) to
provide a monthly report of licensees to the Department of Revenue for verification of tax
compliance. In the event a licensee is identified as delinquent on any state taxes or has failed to
file state income tax returns, the BNHA must notify the licensee of the need to rectify the issue
in order to ensure his/her license is not suspended.
Should the proposed legislation become effective, the BNHA would no longer have to perform
the duties currently required by Section 324.010.
Oversight assumes that if this legislation becomes effective, DHSS could have a small savings
by not having to perform the duties currently required. Oversight assumes the savings would be
immaterial and will not reflect them in the fiscal note.
Officials from the Department of Revenue (DOR) state currently, if a person holds a
professional license that requires registration with the Division of Professional Registration, they
must be current in filing all taxes with the State. They must show they have a “No Tax Due”
statement from the DOR indicating they are current in all tax filings. Failure to produce such a
notice can result in their professional license being suspended.
DOR notes that since the department’s individual income tax filing system went live in 2018,
DOR has notified the Division of Professional Registration about 527 taxpayers. Additionally,
the last year that the Division of Professional Registration asked for the list of non-filers was in
January 2021 and that list contained 51 names. The Division of Professional Registration has
requested DOR cease sending them these files.
DOR assumes this proposal would result in minimal amount of time saved by staff from not
running the list and answering questions from taxpayers about it. DOR does not estimate any
impact to state revenue as DOR will continue to collect any tax owed through other methods. L.R. No. 0989H.01I
Bill No. HB 766
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Oversight does not have any information to the contrary. Therefore, Oversight will reflect a zero
impact in the fiscal note.
Officials from the Department of Commerce and Insurance, the Department of Economic
Development, the Office of Administration and the each assume
the proposal will have no fiscal impact on their respective organizations. Oversight does not
have any information to the contrary. Therefore, Oversight will reflect a zero impact in the fiscal
note for these agencies.
Officials from the Office of Administration - Budget and Planning defer to the Department of
Revenue for the potential fiscal impact of this proposal.
FISCAL IMPACT – State GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028$0$0$0FISCAL IMPACT – Local GovernmentFY 2026
(10 Mo.)
FY 2027FY 2028$0$0$0
FISCAL IMPACT – Small Business
A direct fiscal impact to small businesses that fail to pay state taxes or file state tax returns would
be expected as a result of this proposal.
FISCAL DESCRIPTION
The proposed legislation appears to have no direct fiscal impact.
This legislation is not federally mandated, would not duplicate any other program and would not
require additional capital improvements or rental space.
SOURCES OF INFORMATION
Office of Administration - Budget and Planning
Department of Commerce and Insurance
Department of Economic Development
Department of Health and Senior Services
Department of Revenue L.R. No. 0989H.01I
Bill No. HB 766
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Office of Administration
Office of the State Auditor
Julie MorffJessica HarrisDirectorAssistant DirectorFebruary 11, 2025February 11, 2025