Income Taxes

In some respects, whether the Republican-controlled legislature succeeded in all of its goals isn’t known yet, because priorities like restricting abortion and ending the income tax must be decided by voters.

A Cole County judge is being asked to block the measure from the ballot or rewrite its summary for voters.

Gov. Mike Kehoe said he doesn't plan on calling any special sessions, including on drawing another new congressional map.

As a proposal to eliminate Missouri sales tax is put before voters this year, some workers worry efforts to offset the losses will make it hard to pay rent or put food on the table.

Republican Gov. Mike Kehoe said he's ready to sell his plan to expand sales and use taxes, which would allow Missouri to end the income tax. Another ballot measure would repeal constitutional protections for abortion rights.

The proposed constitutional amendment gives Missouri lawmakers five years to expand sales and use taxes, in order to make up for revenue lost by eliminating the state income tax. It will appear in either a special election or on November's ballot.

Passing a proposed constitutional amendment to eliminate the income tax is a priority for Republicans in Jefferson City. The resolution still needs final approval from the Missouri House, but critics say that raising sales taxes will disproportionately hurt lower-income and elderly Missourians.

Proponents of eliminating Missouri’s individual income tax, including Gov. Mike Kehoe, say it will make the state more competitive and appealing for businesses and people looking to move to the state. But opponents say that hiking sales taxes will impose more costs on lower-income residents.

Despite the potential high costs, Republicans on a Senate committee advanced the plan on a party-line vote Monday. The bill would place an amendment on the statewide ballot later this year asking voters permission to eliminate the income tax and expand sales taxes.

Missouri’s legislature is debating a proposal that would gradually eliminate the state’s income tax and allow the legislature to hike or expand sales taxes. Economists warn it could add a financial burden to people who can least afford it —and mean less money for schools and transit.

With the 1% earnings tax secured until at least 2031, Kansas City now looks ahead to negotiations with the Royals, looming bond measures for water and housing, and the possible referendum to eliminate Missouri’s income tax.

Labor, reproductive rights, LGBTQ+ advocacy and faith groups in Missouri are testing a shared message against what they see as a growing list of threats from Republican lawmakers — including a plan to eliminate the state income tax and expand sales taxes on goods and services.