Capitol Report

By

Brad Lager

Working for Responsible, Equitable Tax Policy

As I have shared before, I believe the most important action of the General Assembly is the crafting of our state’s budget.  Just as important as how government spends the taxpayer’s money is how government generates the resources to fund schools, build roads, and meet its fundamental responsibilities.  Last week, the General Assembly began discussing different tax policy changes and their impacts on Missouri ’s hard working citizens.

One of the guiding principles of any responsible tax policy is that it must be fair and equitable.  In December of last year, the Missouri State Tax Commission recommended a change in the way farmland valuation is assessed across our state.  If this recommendation is allowed to become law, Missouri ’s farmers will be subjected to a dramatic tax increase.  While many of our assessment policies are due for reevaluation, now is simply not the time to be taking more money away from hard-working Missourians.  A difficult economy and rising input costs have led to tight profit margins for agricultural producers and to increase this burden with higher taxes would be irresponsible and counterproductive.  As a result, the Missouri Senate voted overwhelmingly to stop this recommendation from becoming law. 

Another guiding principle for any optimal tax policy is that it must compliment and cultivate economic activity and prosperity.  Tax policy is a cornerstone of a state’s economic plan and significant changes to a state’s tax policy can have a dramatic impact, either positively or negatively, on the financial health of the state.  Therefore, any proposal must endure careful scrutiny.  With this understanding in mind, the Government Accountability and Fiscal Oversight Committee began discussing a proposal to eliminate Missouri ’s state income tax and replace the lost revenue through an increased sales tax.  Although I cannot tell you today whether this proposal is good or bad, what I can share is that I believe this discussion is very important and I look forward to listening to both the pros and the cons over the weeks and months ahead. 

From my time in the House as the Chairman of the Budget Committee to my current position as Chairman of the Joint Committee on Tax Policy, I have fought to bring transparency, accountability, and commonsense to the process for taxing and spending the money of Missouri’s citizens.  In some cases, the right decision is easy (for example, voting to reject the proposed increase on farm land).  In other instances, the optimal outcome is not so clear and a methodical and responsible approach is needed to manage budget stability and to ensure long-term economic health is not compromised.  Regardless of the tax policy proposed, we must continue advancing these discussions so that we can optimize our tax policy, minimize government intrusion in our lives and maximize the money left in the pockets of Missouri ’s hard working taxpayers.   

As always, please feel free to call, email, or write with your ideas or concerns.  The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 429, State Capitol Building , Jefferson City , MO 65101 .  

LathropMoOnline is brought to you by these wonderful sponsors. 
Please tell them you saw their ad on our site and thank them. 

Banner Advertising Available, click here

Park Lawn Funeral Homes ● Cemeteries
Lathrop, MO
(816) 740-4658
parklawnfunerals.com

Goppert Financial Bank
 (816) 528-4296

101 Center St
Lathrop MO 64465 816.528.7827