Tax News

CCH (cch.taxgroup.com) reports:

  A taxpayer who establishes a mega-project within an enhanced enterprise zone will be allowed a refundable credit against Missouri income tax (excluding withholding tax) in exchange for the consideration provided by the new tax revenues and other economic stimuli that will be generated from the new jobs created by the mega-project. The tax credit will be issued annually for a period not to exceed eight years from the commencement of commercial operations of the mega-project. The Director of Revenue will issue a refund to a taxpayer to the extent the amount of the tax credit allowed for a mega-project exceeds the amount of the taxpayer's income tax liability for the year. However, the owner of such tax credit issued need not have any Missouri income tax liability in order to receive a refund.

  A taxpayer seeking approval of a mega-project must submit an application to the Missouri Department of Economic Development. The Department cannot approve any mega-project after December 31, 2008, and cannot approve any tax credits for mega-projects to be issued prior to January 1, 2013.