Chamber Of Commerce Proposes Solution To "Geoffrey Loophole" Tax Debate

Missouri Chamber of Commerce executives now say they can support a portion of the Holden Administration’s proposal to close certain so-called business tax loopholes. But only a small portion. The Chamber’s RayMcCarty tells a legislative committee the Chamber has been studying the so-called Geoffrey Loophole, in which corporations use holding companies to avoid paying state taxes. McCarty says the Chamber can support tighteningstate law to weed out tax sham transactions. The Chamber also says state law shouldn’t go after all holding companies, because some are legitimate. The State Revenue Department Director is pleased with the movement, thoughshe says she hasn’t study the Chamber proposal thoroughly.