Show-Me Sales Tax Spike Threat?!?

A bit more advocacy/reporting from our public media outlet . . . 

"The proposal, which awaits Gov. Mike Kehoe’s decision on whether it will appear on the August or November ballot, would direct the Missouri General Assembly to set revenue baselines and triggers for reductions in the income tax rate.

"In addition, legislators would get broad authority to increase state sales taxes or expand what is subject to sales tax for the next five years. Any changes to the sales tax that would generate more revenue must be tied to reductions in the top income tax rate.

"Currently, legislators must get approval from voters before implementing new sales taxes.

"Income taxes now generate roughly $9.2 billion in state revenue. Unless the state expands the sales tax to things that are not currently taxed, it is estimated the state would have to increase the state sales tax rate by 8.5 percentage points to bring in the same revenue. That would increase Missouri’s sales tax rate — currently 4.225%, with 3% going toward state general revenue — to 12.725%."

Read more via www.TonysKansasCity.com link . . .

Missouri low-income workers fear eliminating income tax will send sales taxes dangerously high

As a proposal to eliminate Missouri sales tax is put before voters this year, some workers worry efforts to offset the losses will make it hard to pay rent or put food on the table.