To amend chapter 143, RSMo, by adding thereto one new section relating to taxation.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF MISSOURI, AS FOLLOWS:

     Section A. Chapter 143, RSMo, is amended by adding thereto one new section, to be known as section 143.850, to read as follows:

     143.850. For each taxable year beginning on or after January 1, 1998, each resident shall be allowed a credit, to be known as the "family necessities tax credit", in the amount of twenty-five dollars for each dependent for whom he is entitled to a dependency exemption deduction for federal income tax purposes:

     (1) If the taxpayer's filing status is single, head of household, or qualifying widow(er) and his or her Missouri adjusted gross income is less than twenty-five thousand dollars; or

     (2) If the taxpayer's filing status is married filing combined and their combined Missouri adjusted gross income is less than thirty-two thousand dollars; or

     (3) If the taxpayer's filing status is married filing separately and his or her Missouri adjusted gross income is less than sixteen thousand dollars.