Missouri House Approves Tax Break for Small Businesses

Missouri House members have given first-round approval to a tax break for small businesses, which is a priority for the chamber’s Republican leaders.

The businesses would be eligible for a $10,000 tax deduction for each full-time job that they create that matches the county’s average wage. The deduction doubles if the business also pays half of its workers’ health insurance premiums. Legislative staff estimate that would translate into a tax break of $600 to $1,200 per job.

House members approved the bill 142-17 on Wednesday. It needs another vote before moving to the Senate.

Besides the tax deduction, the legislation limits fee increases and state regulations affecting small businesses.