Sponsor seeks temporary state income tax deduction for personal property tax paid

Representative Louis Riggs presented House Bill 22 15, proposing a deduction on Missouri income tax returns for personal property taxes paid. He said the deduction would provide relief for taxpayers who have seen large increases in personal property-tax liabilities and proposed an initial duration of six years, renewable for another six.

Members asked whether the deduction could create unintended consequences — including benefits to corporations with large fleets — and raised concerns about the bill’s fiscal note. Representative Taylor and others urged the sponsor to consider targeted relief for vulnerable taxpayers rather than a broad, across-the-board deduction. Mike Lodewagen, testifying on behalf of the Missouri Council School of Ministers, urged caution and highlighted the potential effects on local school funding and the state school-funding formula.

The committee heard policy framing about whether the measure masks broader questions about how Missouri funds education and local services; the hearing did not record a committee vote on HB 22 15 in the included transcript.