Amendment on November ballot would limit additional sales tax

1 year 8 months 4 weeks ago Tuesday, September 20 2016 Sep 20, 2016 Tuesday, September 20, 2016 6:35:00 PM CDT September 20, 2016 in News
By: Christina Salonikas, KOMU 8 Reporter
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COLUMBIA - Missouri voters have the choice whether or not to pass a new taxpayer amendment on Nov. 8th.

If people vote "yes," they will ban any additional sales taxes added onto services.

The official ballot will read:

Shall the Missouri constitution be amended to prohibit a new state or local sales or use tax on any service or activity that was not subject to a sales or use tax as of Jan. 1 2015.
Potential costs to state and local governmental entities are unknown but could be significant. The proposal’s passage would impact governmental entities ability to revise their tax structures. State and local governments expect no savings from this proposal.

Right now, people are taxed on the goods or product of the service, but not the labor. If the amendment is not passed, additional sales taxes could be created.

Chris Fulk, an automotive technician for A-Z Auto Repair, said more taxes can hurt customers.

"An additional service fee for right would add an additional fee for our consumer, which would raise the price of our overall repairs and could affect the outcome of our business at the end of the year," Fulk said.

The Columbia Chamber of Commerce is the first chamber to endorse the taxpayer amendment and agrees with Fulk.

President Matt McCormick said the chamber looked into a lot of factors and doesn't want to put another burden on the community.

"If something like a sales tax on service is passed then that is more work, more burden on our businesses, more costs to the customers, because eventually at the end of the day that cost is going to get filtered down to you and I," McCormick said.

KOMU 8 could not find any organized opposition to the taxpayer amendment. 

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