A Republican lawmaker in Missouri has introduced state-level legislation to exempt federal stimulus checks—or economic impact payments—from state income tax.
Smith’s bill is similar to legislation adopted in Missouri last year that waived state income taxes on federal stimulus checks that were distributed under the 2020 Coronavirus Aid, Relief, and Economic Security, or CARES, Act.
The most recent batch of stimulus, worth $900 billion, was signed into law by President Donald Trump on Dec. 27. It provided a round of $600 economic stimulus checks.
Smith told Missourinet he’s “very optimistic” that his bill, or one similar, will eventually be passed.
President Joe Biden’s proposed $1.9 trillion relief package includes another round of economic impact payments, this time $1,400.
Biden faces resistance from Republicans over the high price tag of the stimulus bill. The president and his allies have argued that going “big” will help boost the economy and bring the pandemic under control.
Biden is scheduled to travel to Wisconsin on Tuesday to pitch the relief bill to voters, with White House spokeswoman Jen Psaki saying last week Biden would do a CNN town hall while visiting the state.
The White House strategy to promote the package and other policy goals involves getting out to voters, with Biden stepping up his travel in coming days, including a trip to Michigan on Thursday.