Seniors and disabled Missouri residents who rent could lose tax credit

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by KMOV.com Staff

KMOV.com

Posted on March 28, 2013 at 12:24 PM

Updated Thursday, Mar 28 at 12:24 PM

(KMOV.com) -- Low-income seniors and disabled citizens who rent a home in Missouri could lose a tax break. New legislation endorsed by the Missouri State Senate would get rid of this tax credit currently in place.

The initial approval to the bill of legislation was first approved within the last 24 hours.

Right now, more than 100,000 seniors who rent receive the tax credit. This new bill will only leave the tax credit in place for those seniors and disabled residents who own their homes.

The original tax credit started back in 1973. It was intended to off-set a portion of local property taxes.

Gov. Jay Nixon appointed a tax credit commission to review the money break. The commission recommended getting rid of the tax break for renters. They cited not enough evidence that what residents pay for rent is influenced by what land-lords pay in property taxes.

This legislation would redirect $57 million in savings away from seniors and give the money to mental health and social services in the state.
 

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