Nearly five months after Missouri approved the largest tax cut in state history, the Missouri House on Tuesday advanced legislation that would further lower the state’s income tax rate and cut taxes on corporations.

*The state should not take a dime more than what we need to provide for essential services - State Representative Doug Richey*

The bill, sponsored by state Rep. Dirk Deaton, a Noel Republican, passed 109-45. It would lower the top state income tax rate from 4.95% to 4.5% starting next year. It also cuts the corporate income tax rate from 4% to 2% next year and allows for future cuts if revenue allows.

The top state income tax rate applies to Missourians who make roughly $22,000 or more a year. The legislation, which is expected to cost the state more than $1 billion once fully implemented, needs one more vote in the House before it heads to the Senate.

Democrats and budget analysts have excoriated the tax cuts, saying they would primarily benefit wealthy Missourians and corporations. They say Republicans are prioritizing tax cuts over government services less than a year after lawmakers already lowered the income tax rate.

Republicans have championed the tax cut as a way to increase economic growth. They also argue that cutting the corporate income tax would entice companies to come to Missouri.

State Representative Doug Richey, who discussed this issue on a recent appearance on Kearney Live said, “The state should not take a dime more than what we need to provide for essential services,” state Rep. Doug Richey, an Excelsior Springs Republican, said on the floor. “This is not reckless.”

Last October, Missouri Gov. Mike Parson, a Republican, signed into law legislation that lowered the state’s top income tax rate from 5.3% to 4.95%.

KPGZ News - Jim Dickerson contributed to this story