Lewis W. Diuguid

Missouri lawmakers’ tax-cutting plan will hurt the state

Updated: 2013-04-25T16:08:22Z

An accountant who does people’s taxes called Wednesday ahead of the Missouri House passing a bill to reduce state income taxes to keep up with the self-destruct action in Kansas.

In preparing individual and business taxes ahead of the April 15 deadline, he found that Kansas City area residents living on the Missouri side of the state line but having businesses on Kansas got a huge tax break from the Sunflower State. However, the kiss they got from Gov. Sam Brownback became a tax windfall for Missouri because the taxpayers no longer could write off on Missouri taxes what they paid Kansas on doing business in that state.

The Republican-controlled legislature in Missouri is about to give away what the Show Me State is gaining from Kansas’ shortsighted action if Missouri lawmakers go ahead with gradually reducing the top individual income tax rate by two-thirds of a percent and the corporate tax rate by three-quarters of a percent. The Kansas City Star reports that the cuts could occur over five years as long as revenue grows at least $100 million in a given year.

That funny-math that the GOP is figuring on doesn’t add up just as it’s not adding up in Kansas. The Republicans can only hope that Gov. Jay Nixon with his veto pen will swoop in on a fast flight from some ribbon-cutting in a far corner of the state and save the day.

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