MO HB1717

Repeals and rewrites sections 143.173 and 143.221 of Missouri Revised Statutes relating to tax deductions and withholding tax return requirements.

Allows small businesses with fewer than 50 employees to claim income tax deductions of $10,000 per new job created (or $20,000 if health insurance is provided covering at least 50% of premiums) for tax years 2011-2014, provided jobs pay at least the county average wage.

Permits tax deductions claimed by pass-through entities (partnerships, LLCs, S-corporations) to be allocated to partners, members, or shareholders according to their operating agreements.

Changes annual withholding tax return threshold from $20 to $100, requiring employers with less than $100 in aggregate withholding taxes in each of the four preceding quarters to file annual returns instead of quarterly returns.

Authorizes the Director of Revenue to adjust monthly and annual withholding payment thresholds and allows the program to automatically sunset three years after August 28, 2011, unless reauthorized by the General Assembly.