Missouri Voters to Decide on Tax Overhaul and Sales Tax Expansion

Missouri voters will decide on several amendments on August 4th, including Amendment 5, which proposes phasing out the state income tax and authorizing the expansion of sales and use taxes. Amendment 5 would require a legislative phase-out of the individual state income tax based on revenue growth and curtail constitutional limits on taxing goods and services. State Representative Bishop Davidson sponsored the bill supporting Amendment 5.

The proposed changes to the state's tax structure could significantly alter the state's revenue base. Amendment 5 would allow state lawmakers to raise sales taxes in response to the income tax phase-out, potentially leading to major shifts in state and local funding.

Missouri lawmakers recently passed legislation regarding services, which involved MO HealthNet.