Service and technology companies based in Missouri will have the option of calculating their taxes in a way that supporters of the measure say avoids double taxation.
Governor Jay Nixon signed a bill Wednesday that gives more companies a tax calculation option that lawmakers say they always intended to apply to all businesses, not just manufacturing companies.
The measure updates a 2013 law that Republican Senator Will Kraus, the bill sponsor, says was interpreted incorrectly by the state Department of Revenue.
Nixon says the clarification guarantees a level playing field for technology and service-based businesses.
Representatives from H and R Block and Cerner testified in support of the measure in a Senate hearing earlier this year.