Staff Analysis of the Legislation
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02.09.2017 The House, Labor, Commerce and Industry Committee gave this bill a favorable report as amended by the subcommittee. 02.08.2017 The House, Labor, Commerce and Industry Executive subcommittee gave this bill a favorable report as amended. The amendments exempt from business license tax 25 percent of gross income of businesses that is collected outside of the county or municipal limits; memorialize formal or informal agreements between businesses and cities “agreed to before January 1, 2019”; allow real estate brokers and brokers-in-charge to pay a business license tax only on commissions retained; allow business license verification to business licensing “officials” only; allow adjustments for growth in business’ gross income between 2016 and the first year of the bill’s implementation when calculating the tax due from each business; allow the Secretary of State to use reserve funds to implement collection of business license taxes; and provide that a county or municipality may establish business license rates; exempt premiums collected on life, accident and health insurance policies from insurance companies’ gross income. Summary of the bill as introduced: Shifts the responsibility to administer business license taxes from cities and towns to the Secretary of State and exempts certain businesses from paying a business license tax. |