State Tax Day - Current, S.11, Missouri—Multiple Taxes: Voters to Decide Whether to Grant Legislature Authority to Expand Sales and Use Tax Base to Permanently Eliminate the State Individual Income Tax, (Apr 23, 2026)
The Missouri House of Representatives passed joint resolutions that place a proposed amendment to the Missouri Constitution on the ballot for the November 2026 election (or a special election to be called by the Governor) that would phase out the state individual income tax and authorize an expansion of the sales and use tax base to replace lost revenue. Specifically, if voters approve the constitutional amendment, the General Assembly would be required to enact legislation to reduce and eliminate the state individual income tax by requiring reductions to the top rate of the tax based on revenue growth until such tax eliminated. Upon elimination of the individual income tax, the General Assembly would be prohibited from enacting or imposing any state individual income tax.
Also, the amendment would authorize state and local sales and use taxes (or any similar transaction-based tax) to be expanded by legislation to impose taxes on transactions involving any goods or services for the purpose of reducing and eliminating the state individual income tax.
Beginning 12 months from the effective date for legislation in which the General Assembly expands the sales and use tax base, any political subdivision that imposes a sales and use tax must make a one-time adjustment to one or more of the following rates of tax to reduce the amount of revenue generated thereby in an amount that is substantially equal to 97% of the additional revenue produced by the expansion of the sales and use tax base:
the sales and use tax rate;
the levy imposed on property in Class 2;
the levy imposed on property in Subclass (1) of Class 1;
the levy imposed on all Class 1 property if such political subdivision imposes a single rate of levy on all such property; or
the rate of any tax imposed on earnings.
H.J.R. 173 and H.J.R. 174, Laws 2026, effective August 28, 2026, subject to voter approval