ST. LOUIS - The city believes they’re financially ready to pay out $26 million in earnings tax refund. However, if the projected amount ends up being incorrect, they’re not as sure.

"We're gonna have to open up the books and see where there's any kind of savings going forward,” said Megan Green, President of St. Louis Board of Aldermen. “We do know as a city though, that year after year for the last few years because of the number of vacancies and staff positions throughout city government, we've actually been running surpluses so my hope would be that this isn't a huge strain on the city budget, just as we have been running those surpluses each year. "

Green says the surpluses in recent years have been between $50-$70 million annually.

Long-term, the city is in the middle of evaluating revenue sources. For years, critics in the Missouri General Assembly have suggested eliminating, phasing out, or replacing the earnings tax. A city panel is studying suggestions and is supposed to have a final report around the first of the year. The earnings tax funds approximately 30% of the city's annual budget.

Time is running out to file a refund for those who worked remotely with City-based employment during the pandemic. If you plan to file, you have through September 30, 2024 to do it.

The refund is for work during 2020 to 2022. You may file a refund request on the Saint Louis City collector of revenue’s webpage by filling out and submitting an E-1R Form and relevant documentation.

The comes following a lawsuit about the 1% earnings tax. Plaintiffs filed a lawsuit stating while working from home, they shouldn’t be required to pay the earnings tax and a circuit court agreed. The city appealed, but the appeals court upheld the circuit courts’ ruling.