Employers would see significant savings through single remittance legislation
Missouri lawmakers have voted to make life for accountants in Missouri a whole lot easier.
The Missouri House passed House Bill 2190 on Mar. 2, legislation that would allow Missouri businesses to send just one tax payment to the Missouri Department of Revenue. The Department of Revenue would then distribute the funds to all other taxing entities in the state. Under the bill, this option would be available to any company that pays $50,000 per year to at least 25 local taxing jurisdictions.
For some companies, that could eliminate processing hundreds of tax bills, a significant savings for Missouri employers.
Rep. Denny Hoskins, a Republican from Warrensburg, sponsored the proposal, which is contained in House Bill 2190. He sponsored similar legislation last year, which was blocked due to the large increase in labor costs the Department of Revenue originally estimated the legislation would cause. This year’s legislation comes with a much smaller price tag. It is estimated that the change would require 15 additional staff to implement, while bringing in $1.5 million in fees charged for the single remittance option.
The Missouri Chamber strongly supports the legislation and had a hand in crafting the proposal. The idea originated in the Missouri Chamber’s Tax Council.
“In a Gallup poll of Missouri CEOs, we learned that a leading concern of Missouri employers is the complexity of our tax process,” said Tracy King, Missouri Chamber vice president of governmental affairs. “This proposal can greatly reduce the time it takes to comply with the many taxing jurisdictions in the state. We are grateful for Rep. Hoskins commitment to secure this break for our employers.”
The effective date of the bill would be 2019.
For more information, contact King at email@example.com or by phone at 573.634.3511.