HCS HB 190 & 214 -- INCOME TAX:  ATHLETES AND ENTERTAINERS

SPONSOR:  Cooper, 120 (Fares)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Tax Policy
by a vote of 16 to 0.

This substitute requires any venue which pays compensation to a
nonresident entertainer or athlete who performs in Missouri to
collect withholding taxes from them.  The substitute also
authorizes penalties, interest, and additions to tax for failure
to collect the withholding tax.

In addition, the substitute extends the sunset dates by seven
years for earmarking of the proceeds of the withholding tax on
out-of-state athletes and entertainers.

The substitute also removes the requirement that transfers to the
various funds are subject to appropriations.

FISCAL NOTE:  Total Estimated Net Income to General Revenue Fund
of Unknown in FY 2004, FY 2005, and FY 2006.

PROPONENTS:  Supporters say that extending the sunset dates on
the transfers to the various funds from the proceeds of the
athletes and entertainers withholding taxes will provide needed
funds in the future.  Strengthening the requirement for venues to
collect and remit the withholding taxes will increase transfers
into the various funds.

Testifying for the bill were Representatives Fares and Myers;
Missouri Arts Council Cultural Trust; Office of the Secretary of
State; Missouri Citizens for the Arts; and Liz Cashell, Henry
County Librarian.

OPPONENTS:  There was no opposition voiced to the committee.

Others testifying on the bill was the Department of Revenue.

Bill Tucker, Deputy Director of Research

Missouri House of Representatives
Last Updated July 25, 2003 at 10:11 am