HB 780 -- Tax Credit Programs

Co-Sponsors:  Scheve, Hanaway, Liese, Carnahan, Shoemyer, Dolan,
Smith

For purposes of the Missouri Certified Capital Company Law, this
bill changes the definition of "capital in a qualified Missouri
business" to include "capital in a qualified Missouri business
or a qualified Missouri agricultural business," and requires
that, of the certified capital raised after August 28, 2001, at
least 25% of the dollar amount must be invested in qualified
Missouri agricultural businesses.

The bill also changes the cap on the total amount of certified
capital for which earned and vested credits against state
premium tax liability are allowed for 1998, 2000, and the years
after 2000.  For calendar years 1998 and 2000, the bill sets the
cap at an amount which would entitle all Missouri certified
capital company investors, on an aggregate basis, to take an
additional $5 million in tax credits.  After calendar year 2000,
the cap may not exceed an amount equal to 10% of the cumulative
credits earned in respect of certified capital invested in
previous years.

The bill states that any certified capital which is controlled
totally by the Missouri certified capital company can now be
invested with an investor of the Missouri certified capital
company or an affiliate or subsidiary which is providing a
guaranteed payment in favor of the investors that have invested
certified capital in the company.

The limit on tax credits relating to the Family Development
Account Program is reduced from $4 million to no more than $2
million per year.  The limit on tax credits relating to the
Individual Training Account Program is reduced from $6 million
to no more than $1 million annually.

Missouri House of Representatives
Last Updated September 13, 2001 at 2:03 pm