Tax & Accounting Blog

Missouri Yet Another State To Consider Shift In Tax Structure

Indirect Tax, ONESOURCE, Sales and Use Tax December 5, 2011

There are several groups in Missouri talking about replacing the income tax with a more comprehensive sales tax.  The usual supporters say it will boost the economy and opposition believes that it will put more of a burden on lower class citizens.  A vote may come before Missouri voters as early as next year but enough signatures must be gathered before getting the measure on the 2012 ballot.  The proposed structure would cap most transactions at 7 percent and at 10 percent for the combined state and local tax rate.  Certain exemptions such as rent, childcare, and tuition would apply.