August 4th Primary Election – Non-Partisan Ballot – Amendment 5

The August 4^th Primary includes four constitutional amendments.

Constitutional Amendment 5 ballot language reads as follows.

Shall the Missouri Constitution be amended to:

• Require legislative phase-out of the individual state income tax based on revenue growth, and authorize the expansion of sales and use taxes;
• Curtail constitutional limits on taxing goods and services; and
• Require local tax rate cuts without reducing school funding if local sales tax revenue increases?

The proposal has no direct impact on state or local tax revenue. If passed, implementing legislation will have an unknown impact to state and local tax revenue. If implemented, state government entities expect a reduction of $57,000 annually in income tax check-off donations and implementation costs of at least $100,000.

The fair Ballot language supplied by the Missouri Secretary of State reads:

A “yes” vote will amend the Missouri Constitution to require legislative phase-out and elimination of the individual state income tax based on revenue growth, and authorize the expansion of sales and use taxes; curtail constitutional limits on taxing goods and services; and require local tax rate cuts without reducing school funding if local sales tax revenue increases.

A “no” vote will not amend the Missouri Constitution to require legislative phase-out and elimination of the individual state income tax based on revenue growth; and will not authorize the expansion of sales and use taxes.

At this time, the impact on taxes is unknown.