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In Missouri, Social Security Tax Cut Approved

A tax-cut priority of Missouri’s governor and House Speaker received initial approval in the Senate this week. Speaker Rod Jetton (R-Marble Hill) is pleased with the bill’s passage, especially after it failed to move for nearly two months, but with changes made to the bill, that success is bittersweet.

“Some of the amendments I like,” said Speaker Jetton. “Some of them I don’t like. The main thing is we got it passed.”

Speaker Jetton’s original proposal called for an end to the state tax on seniors’ Social Security benefits. On the House floor, the bill was expanded to include, among other things, tax cuts for all recipients of Social Security, disabled Missourians receiving Social Security benefits, and retired teachers, firefighters, and police officers. Speaker Jetton acknowledged the tax cuts were too much then but disagrees with the scope of the Senate’s recent changes.

The Senate’s version calls for the tax cut to be phased in over a couple of years and sets income thresholds over which Missouri seniors would not qualify for the tax cut. Over 200,000 seniors would still benefit from the latest Senate version, something Speaker Jetton is pleased with. However, some fundamental issues remain.

“I still say if you pay the tax, it’s not fair to pay it twice,” said Jetton, “but this is the Capitol and you don’t always get it your way and it takes 18 [Senate] votes to pass a bill.”

For the Speaker, the good news is his tax cut legislation, House Bill 444, is one step closer to a conference committee where he hopes he can work with House members and Senators to hammer out differences.