HB 1709 Summary

• Establishes the "Missouri Works Program" to provide tax incentives for business development through withholding tax retention and tax credits for companies creating new jobs or retaining existing jobs in Missouri.

• Qualified companies creating 20+ new jobs with average wages at 90% of county average wage may retain withholding taxes for 5 years (6 years if existing Missouri business) and receive up to 2% additional tax credits annually.

• Companies in targeted industries creating 10+ new jobs or companies in enterprise zones creating 2+ jobs with appropriate wage thresholds may also qualify for withholding tax retention and additional tax credits.

• Businesses relocating to rural areas creating 5+ jobs may retain withholding taxes for 3 years, and companies retaining 125+ jobs may retain up to 100% of withholding taxes for 10 years if making required capital investments.

• Excludes gambling establishments, retail trade, food/drinking establishments, public utilities, educational services, religious organizations, and ethanol/biodiesel producers; includes annual reporting requirements and caps tax credit authorizations at $111-141 million annually depending on fiscal year; program sunsets after 6 years unless reauthorized.