Mo. Gov. Nixon Vetoes Local Vehicle Sales Tax Bill
JEFFERSON CITY - Missouri Gov. Jay Nixon has vetoed legislation that sought to re-impose local sales taxes on vehicles bought from out-of-state dealers or through person-to-person sales.
Nixon's veto Friday marks the second time in two years he has rejected the Legislature's attempt to reverse the effect of a 2012 Supreme Court ruling.
The court ruled that local sales taxes can only be charged on vehicles bought from Missouri retailers. If cities and counties want to tax vehicles bought elsewhere, the court said they need to adopt local "use taxes."
The legislation vetoed by Nixon sought to get around that ruling by tying local sales taxes to the titling of vehicles. Local voters would have had a chance to repeal the taxes by 2016.
Nixon said the repeal section was not drafted well.