Bill would let Missouri employers deduct wage payments made to employees serving on jury duty

Representative Schulte introduced House Bill 223 to the House Ways and Means Committee as a voluntary, year-end deduction for employers that continue paying employees while the employees serve on jury duty. "It allows an employer to take a tax deduction at the end of the year if he chooses to pay his employee while they are on jury duty," Schulte said. "If the employer chooses to continue paying them their normal salary, he can deduct that amount minus the $17 or whatever they receive at the end of the year as a tax deduction."

Committee members asked technical questions about the deduction’s scope. Representative Strickler noted the fiscal note raised a concern that employers could be treated as receiving an additional federal deduction and thus produce a duplicative, or "200%" deduction at the Missouri level. "In the fiscal note it said ... these wages are already are deducted by the employer on the federal level ... Adding this as a deduction to the Missouri return will give these employers a 200% deduction," a committee member summarized from the fiscal note. Schulte said he had consulted a tax adviser and previously advanced similar language but agreed to follow up with the committee and staff for clarification.

The sponsor, witnesses and committee discussed that the deduction would apply only to wages voluntarily paid by an employer in excess of the statutory juror per diem and that the employer would not be required to pay. No outside witnesses registered in favor, opposition, or for informational purposes during the hearing. The committee did not record a committee vote during the public hearing.