Perfected

SS/SCS/SB 131 - This act establishes provisions relating to tax relief.

NEIGHBORHOOD ASSISTANT TAX CREDITS

Current law authorizes a tax credit for business firms which engage in providing affordable housing assistance activities or market rate housing in distressed communities (Housing Credit), with the total amount of such tax credits not to exceed $10 million in a fiscal year. Current law also authorizes a tax credit for business firms which makes a contribution to a neighborhood organization that provides affordable housing assistance activities or market rate housing in distressed communities (Contribution Credit), with the total amount of such tax credits not to exceed $1 million in a fiscal year. This act provides that any amount of the $10 million in Housing Credits not authorized in a fiscal year may be authorized for Contribution Credits during the same fiscal year, provided that the total combined about of Housing and Contribution credits shall not exceed $11 million during the fiscal year. (Section 32.115)

This provision is identical to SB 661 (2023).

FIREARMS EXCISE TAX INCOME TAX CREDIT

For all tax years beginning on or after January 1, 2024, this act authorizes a tax credit for taxpayers making sales of firearms or ammunition. The tax credit shall be equal to the amount of the federal firearms and ammunition excise tax imposed on the sale of such firearms and ammunition sold by the taxpayer during the tax year.

Tax credits authorized by the act shall not be refundable, and shall not be transferred, sold, or assigned. A taxpayer shall not be able to claim a tax credit pursuant to the act if the taxpayer also retained sales taxes pursuant to the act for the same federal firearms excise tax paid.

This act shall sunset on December 31, 2029, unless reauthorized by the General Assembly. (Section 135.098)

SALES TAX EXEMPTIONS

Current law taxes retail sales of food, as defined in current law, at a rate of one percent. This act provides that retail sales of food shall be exempt from state and local sales taxes. (Section 144.014)

This provision is substantially similar to HCS#2/HB 1992 (2022), HB 1817 (2022), and HB 2530 (2022), and to a provision in HB 1779 (2022) and HB 2249 (2022).

This act authorizes a sales tax exemption for the purchase of diapers, as defined in the act.

This provision is identical to SB 1124 (2022) and HB 2384 (2022), and to a provision in SS#2/SCS/SB 649 (2022), and is substantially similar to HCS/HBs 1679, 2859, & 2272 (2022).

This act also provides a sales tax exemption for all purchases of feminine hygiene products, defined as tampons, pads, liners, and cups.

This provision is identical to SB 897 (2022), is substantially similar to HCS/HBs 1679 (2022), 2859, & 2272 (2022), and is similar to SB 800 (2020), HCS/HBs 1306 & 2065 (2020), SB 443 (2019), and HB 747 (2019), and to a provision contained in HCS/SS/SCS/SB 570 (2020).

Current law provides a sales tax exemption for certain durable medical equipment as defined on January 1, 1980, by the federal Medicare program. This act removes the reference to January 1, 1980.

Additionally, current law provides a sales tax exemption for the sales or rental of manual and powered wheelchairs, including parts. This act applies the exemption to accessories for such wheelchairs. (Section 144.030)

This provision is similar to SB 943 (2022), HB 1864 (2022), and SB 483 (2021), and to a provision in SS/SCS/SB 649 (2022), SB 743 (2022), CCS/HCS/SB 226 (2021).

This act provides a sales tax exemption for sales of class III medical devices that use electric fields for the purposes of treatment of cancer, including components and repair parts and disposable or single patient use supplies required for the use of such supplies. (Section 144.813)

FIREARMS EXCISE TAX SALES TAXES

Beginning August 28, 2023, this act provides that all sales of firearms and ammunition made in this state shall be exempt from state and local sales taxes.

Beginning August 28, 2023, from every remittance of sales tax to the Director of Revenue made by a person selling firearms or ammunition, the person shall be entitled to deduct and retain an amount equal to the amount of the federal firearms and ammunition excise tax paid by such person on the sale of ammunition and firearms sold by such person.

This act is substantially similar to SB 1102 (2022) and SB 567 (2021). (Section 144.064)

JOSH NORBERG


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