Budget Shortfall Due to Withholding Error?
I’ve written over past few weeks about a troubling trend in the state revenue which shows individual income tax receipts lagging despite solid economic growth.
As of last week, individual income tax receipts – the largest contributor to state revenues – was running about $60 million behind last year’s collection pace. That’s concerning because we’re still early in the fiscal year.
In what appears to be a response to these numbers, the Department of Revenue announced on Friday that it’s “adjusting” withholding tables. In other words, it seems they goofed when figuring how much Missourians should withhold. Presumably this was a miscalculation when figuring how the Trump tax cut would impact taxpayers.
See the press release here. “The Department will release the new adjusted withholding tables on its website as soon as the tables have been thoroughly vetted to ensure accuracy. Additionally, the Department is actively encouraging businesses to offer to update withholdings from their employees’ paychecks moving forward. Ensuring that appropriate withholding taxes are collected the rest of this year will help lessen unanticipated 2018 tax liabilities in the spring… While most taxpayers’ tax liability is still less than last year, Missouri W-2 withholding amounts decreased by a greater margin than the overall estimated tax reduction. This unexpected decrease in withholding is due to a longstanding inaccurate calculation of the federal tax deduction that had previously gone undetected. As a result, some Missouri taxpayers are under-withholding for the 2018 tax period, meaning those taxpayers may see a smaller refund or a greater balance owed than they had seen in previous years…”
NYTimes on CMC and Kavanaugh
New York Times had an article on the Kavanaugh confirmation process and how it’s impacting the Missouri US Senate race. See it here.
Among the quoted…
“I think the assault allegations neutralize the Kavanaugh issue,” said state Representative Jay Barnes, a Missouri Republican, echoing the private assessments of a wide range of G.O.P. leaders.
“If this is actually on TV next week, and women see she is telling the truth, that could be very, very persuasive,” said former Missouri Gov. Jay Nixon, a Democrat.
“Members of the Senate, especially in the MeToo era, have got to walk on eggshells,” Mr. Danforth said.
“Claire’s vote on Kavanaugh is going to hurt her there,” argued Peter Kinder, a Republican and former lieutenant governor. “Missouri is a pro-life state.”
Tipster: Strong Parson $$$ Ahead
Amid the various talk about whether Governor Mike Parson could or would not face a primary challenge in 2020 comes a pssst from a tipster that “Parson’s PAC will have a solid quarter, and his actual committee will have a strong 4Q.”
The PAC is Uniting Missouri PAC, being run by John Hancock. That showed $186,255 on-hand in its filing earlier this month.
Meanwhile Parson’s actual candidate committee had $123,631 on-hand in its July quarterly filing. It still lists “2020 LG Primary” as his next race….
The September quarter ends on Sunday, and will be reported October 15.
Al Watkins Reppin GOP’s STL County Exec Candidate
KMOV reports on the legal woes of Paul Berry III, the Republican candidate for St. Louis County Executive. See it here. “He is being sued by DaShawn Dingle of Illinois. In 2017 Dingle told News 4, ‘he preyed on my grief.’ Dingle’s son Brendan committed suicide in early 2017. Dingle says she provided a loan to Berry, and was promised it would enable her to appear on Berry’s television program to raise attention for suicide awareness. Dingle claims those appearances never occurred, and Berry failed to pay back the loan… Paul Berry’s attorney, Al Watkins…
Former state senate candidate Redditt Hudson writes on Facebook… “I've transitioned to the St. Louis Circuit Attorney's Office. Stay tuned”
RouteFifty says that Missouri ill-prepared for the next recession. See it here.
Press release: Governor Parson appointed Steven Privette as Presiding Judge for the 37th Judicial Circuit, which includes Howell, Oregon, Shannon, and Carter Counties. Privette won the August primary election and is running unopposed in the November general election. He will succeed Judge David Evans.
Garrett Poorman writes on Facebook… I will be heading back home to the Kansas City area where I’ll serve as Communications Director for Platte-Clay Electric Cooperative. I’m beyond grateful for the opportunity I’ve had to work with Missouri Treasurer Eric Schmitt and excited for the future!
eMailbag on Hallway Index
Tom Dempsey was Pro-Tem for three years, he would have been a four year Pro-Tem, but left one year early. I think it says something about Dempsey that his caucus re-elected him Pro-Tem. Plus, he had super GOP majorities, which was much harder to control with emergence of Schaaf. Lastly, he led more veto overrides than any other pro-Tem in history and remains to have solid relationships across the aisle.
Seventh Annual Friends of Wayne Wallingford Golf Tournament at Dalhousie Golf Club, Cape Girardeau – 11AM.
Nicole Galloway fundraiser at the Boathouse in Forest Park, St. Louis – 5:30PM.
Dan Hyatt formed a candidate committee (Hyatt 4 Assessor) to run for St. Louis County Assessor as a Republican.
Black Pac - Mo Federal Committee was formed. Its treasurer is Michele Watley.
Raise Up Missouri - $500,000 from Black Progressive Action Coalition (NewYork).
Happy birthdays to Kevin Wilson and Terry Witte.