Missouri lawmakers on Friday passed a bill aimed at making sure Missourians won’t have to pay state taxes on their federal stimulus checks.
Congress exempted the payments of up to $1,200 per person from federal taxes, but state lawmakers said Missouri taxes still applied.
Sen. Tony Luetkemeyer, R-Parkville, sponsored the plan to change that.
“At a time when Missouri residents are struggling to recover from economic hardships, it’s important that they keep every dollar possible,” he said in a statement Friday.
The measure works by excluding the money from calculations of a person's adjustment gross income.
The stimulus checks are a marquee feature of the federal coronavirus relief effort known as the CARES Act.
The checks are supposed to go to eligible individuals making less than $90,000 annually and couples making less than $198,000. Many adults with dependent children are also eligible for $500 extra for each one.
The Treasury Department and the Internal Revenue Service began sending payments for those with direct deposit on file last month. Those without that information on file will be sent paper checks expected to take longer.
Internal Revenue Service data released Friday indicated more than 2.48 million checks worth a total of $4.34 billion have been sent to Missourians so far. Nationally, more than 130 million people have received payments worth more than $200 billion, according to an IRS release.
Those who have not yet received a payment can check their status via the "Get My Payment" feature on the IRS's website at https://www.irs.gov/coronavirus/get-my-payment.
The feature allows you check your payment status and confirm whether it's coming by direct deposit or paper check.
The legislation passed by Congress says recipients will get a notice in the mail after payment have been made saying where it went and how it was made, whether direct deposit or paper check.
The Missouri legislation is Senate Bill 676.