Concerns over sales service tax amendment brings new opposition

2 years 11 months 1 week ago Thursday, October 06 2016 Oct 6, 2016 Thursday, October 06, 2016 1:58:00 PM CDT October 06, 2016 in News
By: Melissa Zygowicz, KOMU 8 Reporter
loading

JEFFERSON CITY - Missouri voters will decide November 8 on an amendment regarding a ban on additional sales tax to services.

Currently, Missourians are taxed on the goods or product of a service, but not the labor. If Missourians vote no, additional sales taxes could be created.

The Missouri Municipal League said Thursday it opposes the amendment because it would limit the ability for city sales taxes to adjust to an ever-shifting economy. 

Richard Sheets, deputy director of the Missouri Municipal League, said making an amendment to the constitution is a drastic step.

"Once [something is] in the constitution, it's very difficult to change it if an amendment is incorrect. Amendment 4 has some uncertainties in our mind," Sheets said. "Our concern is really that it will affect revenues from local government and the possibilities to adjust to an ever changing economy."

Sheets also said there is some uncertainty in the language of the amendment.

"We have no intention to expand the sales tax into the service area. It's just changing and putting the constitution and limiting the scope of the sales tax and how that could effect local sales taxes in the future," he said.

The Missouri Budget Project also opposes Amendment 4, saying Missouri's sales tax law would never be able to adjust to the changing economy.

In a statement to KOMU, the Missouri Budget Project said:

"For example, Missourians used to access music by purchasing records at the local record store. Record, CDs and tapes are all subject to sales tax. But, with the development of digital music, more and more Missourians are accessing their music as downloads, and rarely purchase records anymore. These downloads are not currently subject to sales tax, and the amendment would prohibit the sales tax from ever applying to downloads simply because they aren’t currently subject to tax."

KOMU 8 News spoke with Columbia Chamber of Commerce President Matt McCormick in September after the chamber became the first to endorse the amendment.

McCormick said, ""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."

The official November 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.

 

 

 

More News

Grid
List
COLUMBIA - Teachers, students and parents at Blue Ridge Elementary School are getting used to new security measures. Over... More >>
13 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 6:04:00 PM CDT September 17, 2019 in News
COLUMBIA - Multiple people were trapped in elevators across MU's campus as a result of a widespread power outage Tuesday... More >>
13 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 5:26:00 PM CDT September 17, 2019 in News
COLUMBIA - Some new artwork is continuing to pop up and gain interest on the MU campus. So far,... More >>
14 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 4:30:00 PM CDT September 17, 2019 in News
CAMDENTON - Police are investigating after a Walmart employee found a man dead in a car in the parking lot... More >>
15 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 4:08:00 PM CDT September 17, 2019 in News
COLUMBIA - Residents are asking for road improvements after a driver hit and killed a 17-year-old girl on Clark Lane... More >>
15 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 3:46:00 PM CDT September 17, 2019 in News
OMAHA, Neb. (AP) — The amount of water flowing down the lower Missouri River this year is approaching the... More >>
15 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 3:39:47 PM CDT September 17, 2019 in News
COLUMBIA -MU's football attendance is showing signs of revival, following years of steady decline. The Tigers' average home attendance... More >>
16 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 2:36:00 PM CDT September 17, 2019 in News
COLUMBIA - Parents of Columbia Public School students are demanding a change to the way they treat students with special... More >>
16 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 2:29:00 PM CDT September 17, 2019 in News
(CNN) -- Veteran journalist Cokie Roberts, winner of three Emmys and a legend and trailblazer in broadcasting, has died at... More >>
21 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 10:06:00 AM CDT September 17, 2019 in News
COLUMBIA - The Missouri State Highway Patrol is helping two county agencies with a death investigation Tuesday. Troop F,... More >>
22 hours ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 8:28:00 AM CDT September 17, 2019 in News
COLUMBIA - School Resource Officers (SROs) will be staying in Columbia Public Schools for at least another month. The Columbia... More >>
1 day ago Tuesday, September 17 2019 Sep 17, 2019 Tuesday, September 17, 2019 1:22:00 AM CDT September 17, 2019 in News
COLUMBIA - A seventeen-year-old is dead after being hit by a car while walking on Clark Lane late Monday night.... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 11:20:00 PM CDT September 16, 2019 in News
JEFFERSON CITY - A woman face charges of domestic assault, property damage and driving while intoxicated after investigators said she... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 10:11:00 PM CDT September 16, 2019 in News
BELLEFONTAINE NEIGHBORS, Mo. — A head-on crash in Cole County over the weekend killed a St. Louis County couple travelling... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 9:45:00 PM CDT September 16, 2019 in News
COLUMBIA - Hickman High School got its first eSports club five years ago, but this year, it's finally getting its... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 3:00:00 PM CDT September 16, 2019 in News
ST. LOUIS (AP) — A suburban St. Louis-based company is offering free test-preparation classes for high school students in... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 2:25:00 PM CDT September 16, 2019 in News
COLUMBIA - The city did not collect curbside recycling on Monday due to what they are calling "severe collection staff... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 1:28:00 PM CDT September 16, 2019 in News
MILLER COUNTY - A man pleaded guilty Monday to child molestation, prosecutors said. Dillon J. Robertson pleaded guilty to... More >>
1 day ago Monday, September 16 2019 Sep 16, 2019 Monday, September 16, 2019 1:12:00 PM CDT September 16, 2019 in News
Columbia, MO
Broken Clouds 70°
8am 73°
9am 77°
10am 81°
11am 84°