Fact Sheet on SB71 Proposed Income Tax Rate Cut
reportThis policy brief examines the impact of the principal tax change in House Committee Substitute for Senate Bill 71, which would decrease each of the state’s income tax rates by 0.5 percent. Missouri’s income tax rate structure currently starts at 1.5 percent for filers with taxable income below $1,000 and increases in thousand dollar increments until the top bracket of $9,000 with a top rate of 6 percent is reached. This legislation would decrease the rates that apply to each of these brackets by 0.5 percent. For example, the lowest income tax rate would decline from 1.5 to 1.0 percent, and the top tax rate would decline from 6 to 5.5 percent.