Special legislative session on Missouri income tax cut delayed as lawmakers hash out details

A planned special session for Missouri lawmakers to return to the Capitol and pass a tax cut package has been delayed.

The General Assembly was set to return to Jefferson City at noon Tuesday to approve an income tax cut and extend tax credits on agricultural programs and industries, as outlined by Gov. Mike Parson. But legislative leaders said Wednesday that timeline had been moved back a week as negotiations on policy details continue.

"Our intent is to continue discussions next week with the goal of beginning legislative action during the week of veto session," leaders in both the House and Senate said in a joint statement posted by Senate Majority Leader Caleb Rowden, a Columbia Republican, on social media.

The legislature's annual veto session, during which they convene to vote whether to overturn vetoes issued by the governor, is set for Sept. 14.

More: Missouri lawmakers to convene for special session on income tax cut, agriculture credits

Gov. Mike Parson and lawmakers had aimed for swift negotiations and a brief session to pass what Parson had called a "straightforward" legislative package. The governor's official call for the special session outlined specific guardrails and cost limits in an attempt to prevent lawmakers from broadening or significantly altering the bill.

The planned income tax cut, which would total an estimated $700 million, would reduce the top individual rate in Missouri from 5.3 percent down to 4.8 percent. It would also increase the standard deduction by $2,000 for individuals and $4,000 for joint filers, as well as eliminate the bottom income tax bracket.

Parson has also asked lawmakers to take another run at extending tax credits for agricultural industries and programs, a version of which he vetoed after lawmakers opted to extend them for two years. Parson has asked for six-year extensions for meat processing, ethanol blend fuels, biodiesel and other areas.

The governor and top statehouse Republicans have touted the planned tax cut as a well-timed and necessary burden removed from taxpayers; their statement Wednesday said they aimed to "provide Missourians with the most substantive and effective tax relief possible." The plan has been criticized by Democrats and a think tank studying the state's budget as "irresponsible" and potentially harmful to the health of state revenues.

Galen Bacharier covers Missouri politics & government for the News-Leader. Contact him at gbacharier@news-leader.com, (573) 219-7440 or on Twitter @galenbacharier.

This article originally appeared on Springfield News-Leader: Special session on MO income tax cut delayed as lawmakers negotiate