Lawmakers Discuss Informing Businesses of Sales Tax Changes

4 years 5 days 22 hours ago Sunday, June 15 2014 Jun 15, 2014 Sunday, June 15, 2014 9:27:00 AM CDT June 15, 2014 in News
By: The Associated Press

JEFFERSON CITY (AP) - Legislation that would require businesses to be told of changes in sales tax policies has become the latest flashpoint between Gov. Jay Nixon and Missouri lawmakers.

The Democratic governor vetoed a pair of bills last week that would require the state to notify businesses of court rulings or Department of Revenue decisions modifying which things are subject to state sales tax.

The bills passed the Republican-led Legislature with little dissent. Legislative researchers estimated the costs at $100,000 or more to pay for postage and extra staff time.

But Gov. Jay Nixon's administration says the legislation could result in a loss of $200 million in revenues to state and local governments. He says businesses could reap a "windfall" by using the lack of notification as a reason to seek tax refunds.

[Editor's Note: The headline of this story has been corrected for accuracy and clarification.]

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