MO HB1616

Repeals and reenacts section 620.1039 to modify the research and development tax credit program, changing "may" to "shall" to make the director authorization mandatory rather than discretionary.

Limits qualified research expenses to agricultural biotechnology, plant genomics products, diagnostic and therapeutic medical devices, prescription pharmaceuticals for human or animal consumption, and power system technology for aerospace, space, defense, or implantable/wearable medical services.

Increases annual aggregate tax credit cap from $9.7 million to $10 million and establishes a pro-rata allocation formula if total eligible claims exceed the annual cap in any calendar year.

Changes the application filing deadline to January 1 through July 1 of the calendar year following the tax period, with the director required to act on applications between August 1 and August 15 of each year.

Replaces the previous moratorium on new credits (effective 2005) with a limitation that no single taxpayer may receive more than 30 percent of the aggregate annual tax credits.