Phases out the corporate income tax

SB 16 gradually eliminates Missouri's corporate income tax by reducing the tax rate over time. Starting in 2020, corporations pay 4% on Missouri taxable income, with annual 0.8% reductions beginning in 2026 until the tax is fully phased out by 2030. The bill directly affects all Missouri corporations operating within the state, though it excludes out-of-state businesses covered under specific statutes (sections 190.270-190.285). Key provisions include a fixed 4% rate from 2020-2025, followed by stepwise rate cuts, with no corporate tax applying to Missouri taxable income after 2029. This is a concrete policy change to reduce corporate tax liability over a decade.