135.400. Definitions.
Definitions.
135.400. As used in sections 135.400 to 135.430, the following termsmean:
(1) "Certificate", a tax credit certificate issued by the departmentof economic development in accordance with sections 135.400 to 135.430;
(2) "Community bank", either a bank community development corporationor development bank, which are financial organizations which receiveinvestments from commercial financial institutions regulated by the federalreserve, the office of the comptroller of the currency, the office ofthrift supervision, or the Missouri division of finance. Community banks,in addition to their other privileges, shall be allowed to make loans tobusinesses or equity investments in businesses or in real estate providedthat such transactions have associated public benefits;
(3) "Community development corporation", a not-for-profit corporationwhose board of directors is composed of businesses, civic and communityleaders, and whose primary purpose is to encourage and promote theindustrial, economic, entrepreneurial, commercial, and civic development orredevelopment of a community or area, including the provision of housingand community development projects that benefit low-income individuals andcommunities;
(4) "Department", the Missouri department of economic development;
(5) "Director", the director of the department of economicdevelopment, or a person acting under the supervision of the director;
(6) "Investment", a transaction in which a Missouri small business ora community bank receives a monetary benefit from an investor pursuant tothe provisions of sections 135.403 to 135.414;
(7) "Investor", an individual, partnership, financial institution,trust or corporation meeting the eligibility requirements of sections135.403 to 135.414. In the case of partnerships and nontaxable trusts, theindividual partners or beneficiaries shall be treated as the investors;
(8) "Missouri small business", an independently owned and operatedbusiness as defined in Title 15 U.S.C. Section 632(a) and as described byTitle 13 CFR Part 121, which is headquartered in Missouri and which employsat least eighty percent of its employees in Missouri, except that no suchsmall business shall employ more than one hundred employees. Suchbusinesses must be involved in interstate or intrastate commerce for thepurpose of manufacturing, processing or assembling products, conductingresearch and development, or providing services in interstate commerce, butexcluding retail, real estate, insurance or professional services. For thepurpose of qualifying for the tax credit pursuant to sections 135.400 to135.430, "Missouri small business" shall include cooperative marketingassociations organized pursuant to chapter 274, RSMo, which are engaged inthe business of producing and marketing fuels derived from agriculturecommodities, without regard for whether a cooperative marketing associationhas more than one hundred employees. Cooperative marketing associationsorganized pursuant to chapter 274, RSMo, shall not be required to complywith the requirements of section 135.414;
(9) "Primary employment", work which pays at least the minimum wageand which is not seasonal or part-time;
(10) "Principal owners", one or more persons who own an aggregate offifty percent or more of the Missouri small business and who are involvedin the operation of the business as a full-time professional activity;
(11) "Project", any commercial or industrial business or othereconomic development activity undertaken in a target area, designed toreduce conditions of blight, unemployment or widespread reliance on publicassistance which creates permanent primary employment opportunities;
(12) "State tax liability", any liability incurred by a taxpayerpursuant to the provisions of chapter 143, RSMo, chapter 147, RSMo, chapter148, RSMo, section 375.916, RSMo, and chapter 153, RSMo, exclusive of theprovisions relating to the withholding of tax as provided for in sections143.191 to 143.265, RSMo, and related provisions;
(13) "Target area", a group of blocks or a self-defined neighborhoodwhere the rate of poverty in the area is greater than twice the nationalpoverty rate and as defined by the department of social services inconjunction with the department of economic development. Areas of thestate satisfying the criteria of this subdivision may be designated as a"target area" following appropriate findings made and certified by thedepartments of economic development and social services. In making suchfindings, the departments of economic development and social services mayuse any commonly recognized records and statistical indices published ormade available by any agency or instrumentality of the federal or stategovernment. No area of the state shall be a target area until so certifiedby the department of social services and the revitalization plan submittedpursuant to section 208.335, RSMo, has received approval.
(L. 1992 S.B. 661 & 620 § 8, A.L. 1994 H.B. 1547 & 961, A.L. 1995 H.B. 414, S.B. 445, A.L. 1996 H.B. 1237, A.L. 1997 2d Ex. Sess. S.B. 1, A.L. 1998 S.B. 827, A.L. 2003 H.B. 289)CROSS REFERENCE:
Annual report for tax credits, RSMo 320.092