Today Americans for Tax Reform issued a letter to members of the Missouri House of Representatives calling on them override Gov. Jay Nixon’s veto of HB 253, legislation that would begin the process of reforming Missouri’s tax code. With neighboring states like Kansas and Oklahoma moving towards lower, more competitive tax rates, lawmakers in Jefferson City must begin their own process of reform to keep Missouri economically competitive and encourage job creation.
On behalf of Americans for Tax Reform (ATR) and our members across Missouri, I write today in support of HB 253 and urge you to OVERRIDE Gov. Nixon’s veto of this important piece of legislation. HB 253 would represent a significant reduction of the tax burden on Missouri businesses and families. Currently, Missouri’s tax climate is a hindrance to economic growth and job creation. HB 253 would take important steps towards keeping Missouri competitive with her neighbors, many of whom have enacted large tax cuts in the past several legislative sessions.
Presently, the corporate income tax rate that businesses in Missouri face is 6.25%. HB 253 would nearly cut this in half over a ten year period, reducing it to 3.25%. In addition, the top individual rate would be brought down to 5.5% over the same ten year window. Under HB 253, these measures are only to be implemented if the state is collecting revenues that rise by $100 million or more annually. Contrary to claims, HB 253 takes tax cuts from future growth in state revenue, and returns it to businesses and hard-working taxpayers.
HB 253 represents not only an important step forward for the Show-me-state, but also a very critical move in order to remain economically relevant in an increasingly competitive region. Neighboring states such as Kansas and Oklahoma have significantly reduced the tax burden on businesses and taxpayers. Iowa, Nebraska and Indiana have enacted tax cuts as well, and many of them are just getting started. In order to stay on pace with her neighbors, Missouri must allow businesses to keep more capital so that they may invest further and create jobs. Taxpayers, too, would be accorded more take home pay under HB 253.
ATR urges you to support HB 253 and override Gov. Nixon’s veto. Legislators in Jefferson City should continue to focus on policies that allow the private sector to grow and create jobs; reducing the tax burden that they face is an excellent way to do so. ATR will be following this issue closely and educating your constituents as to how their legislators in the House of Representatives vote on this important matter.
You can read the full letter here.