JEFFERSON CITY, Mo. — For the previous fiscal year, a recently released report concludes Missouri remained in compliance with constitutional limits on taxing and expenditures.
The Hancock Amendment to the Missouri Constitution limits how much of Missourians’ personal income can be taxed. The report compiled by the State Auditor’s Office found that in FY 2018, the state taxed below the threshold.
“For the year ended June 30, 2018, total state revenue was approximately $3.9 billion under the refund threshold. As a result, no refund is due for the year ended June 30, 2018,” the report concluded. “This revenue limit has not been exceeded since the year ended June 30, 1999.”
The Hancock Amendment also requires the approval of voters if taxes and fees would increase above a certain amount. In FY 2018, that amount was $102.9 million. The report found that these taxes and fees decreased during that fiscal year by $41.3 million.
The 2016 legislative session is the only recent year the taxes and fee increase limit has been projected to be exceeded. For FY 2017, total state revenue was approximately $4.2 billion under the Hancock threshold.
A complete copy of the office’s review of state compliance with the Hancock amendment can be found here.