Missouri Gov. Jay Nixon was in Blue Springs Friday asking local elected officials to oppose the tax breaks state lawmakers approved in the session's eleventh hour.
Nixon vetoed the cuts, which would have created sales tax exemptions for restaurants, dry cleaners and power companies, earlier this week. He says they weren't accounted for in the budget legislators sent him and would make it difficult for municipalities to raise the money they need through levy increases.
The Missouri House has given first-round approval to a proposed constitutional amendment that would create a temporary one-cent sales tax to fund transportation needs. The tax hike would require voter approval and would expire after 10 years unless renewed by voters again. Before the vote, an amendment was offered that would have raised the state’s fuel tax from 17 to 20 cents per gallon. It was sponsored by Democrat Jon Carpenter of Clay County. “The Missouri gas tax has not increased in many years, and it hasn’t kept pace with inflation, and the amount of money we get to be able to
Buying an older car could become more economical in Missouri.
A state senator filed a bill Thursday that would exempt decade-old cars from sales taxes on the titling of the motor vehicle. Under the bill, a 2004 model bought in 2014 would be exempted from sales taxes.
A potential statewide sales tax to improve road conditions gained new life recently, but not everyone thinks the initiative is a good idea.
The Missouri Association for Social Welfare (MASW) is opposed to an initiative petition filed by Missourians for Safer Roads and New Jobs that would establish a one-cent sales and use tax. The proposed tax could raise $8 billion to fund road improvements throughout Missouri. MASW believes the tax is regressive and would affect lower-wage citizens more than their higher-wage counterparts.
A proposed 1-cent sales tax for transportation has stalled in the Missouri Legislature.
The sales tax proposal was projected to generate nearly $8 billion over a decade for state highways, local roads and other modes of transportation such as railroads, airports, mass transit and river ports. Cities and counties would each get 5 percent of the revenues, with the rest going to state projects. Voters would have had to approve the tax in 2014 to enact the proposal.
The typical Missouri household might have relatively little to gain from a Senate-endorsed overhaul of the state's tax policies.
The proposed mixture of income tax cuts and sales tax hikes could save a few dozen dollars annually for a family of four earning just slightly more than Missouri's median household income of about $45,000.
Wealthier taxpayers, particularly those running their own businesses, might save a lot more. Yet seniors reliant on Social Security benefits could pay more.
Holts Summit voters will decide on Nov. 6 whether to renew a 20-year-old sales tax. The .05 percent sales tax is earmarked for capital improvements and if renewed, would continue until 2033.
Holts Summit City Administrator Brian Crane said the city primarily used the original sales tax revenue to build a new sewage system. He said the renewal would expand upon necessary improvements to city infrastructure.
Boonville citizens will vote Nov. 6 on a tax initiative to raise the sales tax. The main portion of money from the tax would go to improving the water treatment plant in Boonville.
The tax initiative on the Boonville ballot would raise the sales tax by half of one percent. This would raise the sales tax to 8.2 percent similar to that of surrounding cities. The money would go toward improving the water treatment plant and storm water drainage issues. City Administrator Irl Tessendorf said times may be tough but the improvements are needed.
The Jefferson City Fire Department is asking voters to fund the plan that would purchase new equipment and trucks, cover technical upgrades, and pay for firefighter training. Captain Scott Spencer says unfortunately, a lot of the department’s equipment is getting old.
“This fire department improvement plan is for the community. It all transcends down to the end user, the taxpayer, the customer that might be relying on us for emergency medical services, which we’re going to be upgrading," said Spencer.
Novinger, a small town west of Kirksville, is voting Tuesday on a proposition that would implement the town’s first ever sales tax. The proposed tax is a 1% sales tax and is estimated to raise between $10,000 and $15,000 annually.