Legislation would lower taxes for Kansans working in Missouri

JEFFERSON CITY, Mo. (AP) -- The House gives first-round approval to a bill that would lower the taxes for Kansans working in Missouri.

The bill allows those who live in another state but work in Missouri to subtract what they pay in property taxes in their home state from the income on which they are taxed in Missouri. But it applies only if the other state allows Missouri residents to do the same.

Kansas lets Missourians make the deduction. Illinois, for example, does not.

The bill comes after Missouri lawmakers removed the tax break in a bill that cut taxes on retirement benefits. Angry Kansas lawmakers have threatened to increase taxes on Missourians who work across state lines.

The bill needs another vote before it moves to the Senate.