Politics

Missouri will vote on expanding sales taxes so lawmakers can end the state income tax

North America / United States0 views1 min
Missouri will vote on expanding sales taxes so lawmakers can end the state income tax

Missouri voters will decide whether to grant lawmakers the power to expand sales and use taxes to eliminate the state income tax. The proposal, a key priority of Gov. Mike Kehoe, would give lawmakers a five-year window to make up for lost revenue.

Missouri voters will decide on a proposed constitutional amendment that would allow lawmakers to expand sales and use taxes to eliminate the state income tax. The Missouri House voted 95-59 to pass the amendment, which now goes to voters. Proponents say eliminating the income tax will make the state more competitive, while opponents argue it would blow a multi-billion-dollar hole in the state budget. The proposal requires lawmakers to lower the income tax and raise other taxes to make up for the loss. Lawmakers would have a five-year window to expand transaction-based taxes. Once the income tax is eliminated, it cannot be reinstated unless a different constitutional amendment is passed.

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