Benefits for individuals and families include:
- Increase in pay due to reduced federal income tax withholding
- One time payment of $250 to seniors, disabled veterans, retired teachers and others
- Increase in the earned income tax credit for families with three or more children
- Federal income exemption of the first $2,400 of unemployment benefits
- Federal income deduction for state and local sales taxes paid on the purchase of new vehicles
- Increase in the child tax credit
- Increase in federal tax credit from $7,500 to up to $8,000 for first time homebuyers
- Increase in federal tax credit from $1,800 to up to $2,500 for tuition and related expenses
- Increase in thresholds for Alternative Minimum Tax
Benefits for small businesses include:
- Reduced estimated tax payment requirements for 2009
- Extension of net operating loss carrybacks from two years to up to five years
- Deferral of cancellation-of-debt income
- Expansion of Work Opportunity eligible target groups to include unemployed veterans and disconnected youth; employers are eligible for a federal tax credit of up to $2,400 of wages paid to employees in these groups
- Accelerated depreciation for qualifying property
- Increased expensing for qualifying property
- Extension of acceleration of recognition of historic alternative minimum tax and research and development credits
- Exclusion of gains from the sale of qualified small business stock held for required periods
To learn more about Missouri's initiative to create jobs and transform Missouri's economy visit: http://transform.mo.gov/
