Kehoe wants voters to decide fate of the Missouri income tax
STLPR • • general
Key Points:
- Missouri Gov. Mike Kehoe proposed phasing out the state income tax over five years, to be approved by voters, and offsetting lost revenue by taxing certain services currently exempt from sales tax, such as digital subscriptions and online advertising.
- The plan aims to protect agriculture, health care, and real estate from sales tax increases, includes fiscal safeguards, and seeks to modernize Missouri’s tax code to better fit the current economy.
- The proposal received mixed reactions: Republicans generally support it as a necessary tax reform, while Democrats criticize it as a potential budget risk and a disguised tax increase on consumers.
- Kehoe’s budget proposal cuts general revenue spending by about 4%, includes funding for tornado debris removal in St. Louis, expands funding for
