House Republicans are celebrating the passage of House Bills 594 and 508, sweeping legislation that aims to provide tax relief to Missouri families, support local communities, and bolster economic competitiveness across the state.
The bills, which now await Governor Mike Kehoe’s signature, eliminate state sales tax on essential items like diapers and feminine hygiene products — a move lawmakers say will have the most immediate impact on low-income women and families.
In addition to tax relief on everyday necessities, the legislation also includes a controversial provision eliminating capital gains taxes on profits from home sales, farms, stocks, and retirement investments. Republican leaders argue this change will encourage entrepreneurship and investment while offering financial flexibility to Missourians.
The bills go further by expanding property tax credits for seniors and indexing them to inflation, a change supporters say will help older adults remain in their homes. They also provide funding for public safety initiatives, first responders, and broadband infrastructure — including tax exemptions for broadband equipment — and include targeted support for a community center in Independence.
While the tax cuts for capital gains have sparked criticism from budget watchdogs concerned about long-term revenue loss, supporters maintain the bills represent a balanced effort to strengthen families and foster local economic development.
