The bill proposes to repeal the existing section 32.115 of the Revised Statutes of Missouri and replace it with a new section that outlines the framework for benevolent tax credits. The new legislation establishes that the Missouri Department of Revenue will grant tax credits to businesses and financial institutions for contributions made to approved programs. The amount of the tax credit is set to a maximum of seventy percent of the total contributions made during the taxable year, an increase from the previously capped fifty percent. Additionally, the bill specifies that tax credits can be applied against various taxes, including those on insurance companies, banks, and corporations, and sets limits on the total economic benefit that can be claimed. Furthermore, the bill details specific provisions for different types of proposals, including those related to affordable housing and neighborhood organizations. It allows for tax credits of up to fifty-five percent for investments in affordable housing in distressed communities and establishes a carryover provision for unused credits. The legislation also includes stipulations regarding compliance and certification for affordable housing units, as well as penalties for non-compliance. Overall, the bill aims to enhance the incentives for businesses to contribute to community development and support programs that benefit economically distressed areas.

Statutes affected:
Introduced (6650H.01): 32.115