The Missouri State Auditor released an audit Tuesday detailing uncertainty and confusion related to the state’s individual income tax withholding tables. The report found changes made to withholdings in January 2019 were done unlawfully and will result in over-withholding for the majority of individual Missouri taxpayers.
“For more than six months, this administration failed to communicate with Missourians on how changes to withholdings would affect their bank account. Then, despite bipartisan calls for answers, they attempted to downplay the issues,” Auditor Nicole Galloway said. “Taxpayers deserve honesty from the administration. Instead, the Department of Revenue continues to operate in secrecy.”
In December, as a part of the audit of the timeliness of tax refunds, Galloway directed her team to begin asking questions about the withholding tables. The report outlines multiple changes made to the withholding tables and the administration’s failure to effectively communicate with the public about those changes. New tables were released in March 2018 and October 2018. As a result of these changes, taxpayers are expected to pay an additional $134 million when they file their returns, and there will be $232 million less in tax refunds issued.