On Friday morning, Governor Michael L. Parson traveled to Missouri State University’s Bond Learning Center to discuss the importance of extending key agricultural tax credits and cutting the state income tax.

Governor Parson is calling for a large tax cut, making this the largest in the state’s history. During the most recent legislative session, agriculture tax credits for urban farming, agribusinesses, and ethanol and biodiesel market development were extended for only two years, while other tax credit programs were extended for a minimum of six. Governor Parson believes Missouri agriculture deserves better.

 “When you say agriculture is very dear to me, as soon as I get done here, I am going to be in a John Deere tractor before this day is over,” Parson jokingly said.

As a third-generation farmer, Parson is no stranger to the daily challenges agriculturists face. While in office, Governor Parson has faced historic natural disasters such as droughts, floods, tornado damages, and the COVID-19 pandemic that have affected Missourians statewide. Most recently, Parson signed a drought declaration in his office, and following, he signed a flood declaration.

“Whatever the circumstance may be, we have faced everything that has been thrown at us and have met every challenge we could possibly meet in this period of time,” Parson stated.

Parson recently vetoed a legislative bill the Missouri General Assembly passed eight times that affected agricultural tax cuts. Following the veto, Parson called a special legislative session to assure agriculture is on the same playing field as other industries. Tax credits have affected Missouri commodities such as pork, cattle, soybeans, corn, biodiesel, and many more.

“In this situation, agriculture got the short end of the stick,” Parson said. “We got two years instead of six because people who are not involved in agriculture got involved.”

The proposed tax cut will not only affect agriculturists but all Missourians. The bill will take effect January 1, 2023. Parson briefly shared the simplified version of how this process will take place.

For low-income individuals, seniors, veterans, and part-time employees, the new bill will eliminate the tax brackets when filing their taxes. For single citizens making $16,000 or less, married couples who file together making $32,000 or less, and single parents with two children, they will not be obligated to pay any state tax in Missouri. This will cost Missouri approximately $700 million and will be ongoing, occurring every year to help Missourians.

“This is the best thing we can ever do for our state, the best thing to do for our economy, and to keep Missouri going in the right direction,” Parson said.