COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.:1413H.07C Bill No.:HCS for SS for SCS for SB 398 Subject:Consumer Protection; Merchandising Practices; Motor VehiclesType:Original Date:May 1, 2023Bill Summary:This proposal modifies provisions relating to motor vehicles.
FISCAL SUMMARY
ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2024FY 2025FY 2026
General Revenue
($57,401)($58,134)($79,062)
Total Estimated Net Effect
on General Revenue
($57,401)($58,134)($79,062)
ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Conservation Commission
Fund*
$0 or Up to ($253,656)$0 or Up to ($304,387)$0 or Up to ($304,387)Parks, Soils and Water
Fund*
$0 or Up to ($202,925)$0 or Up to ($243,510)$0 or Up to ($243,510)School District Trust
Fund*
$0 or Up to
($1,014,623)
$0 or Up to
($1,217,548)
$0 or Up to
($1,217,548)
State Road Bond Fund*$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644)
$0 or Up to
($3,652,644)
State Road Fund*$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644
$0 or Up to
($3,652,644)
Various State Funds
$0
Less than
$125,000
Less than
$250,000
Total Estimated Net
Effect on Other State
Funds
$0 or Up to
($7,558,944)
$0 or Up to
($8,945,733)
$0 or Up to
($8,820,733)
*Current law allows (may) motor vehicle dealers to collect and remit sales taxes (dealers already
have this ability). This proposal requires motor vehicle dealers (as soon as technologically
possible following the development and maintenance of a modernized, integrated system) to
collect and remit sales tax. This may increase the amount of sales taxes paid to the state L.R. No. 1413H.07C
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(assuming some are not actually paying sales tax and registering their vehicles). However,
dealers would be allowed to retain the 2% timely-filed discount (which are the estimates above).
ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on All Federal
Funds $0$0$0
ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net
Effect on FTE 000
☒ Estimated Net Effect (expenditures or reduced revenues) expected to exceed $250,000 in any
of the three fiscal years after implementation of the act or at full implementation of the act.
☐ Estimated Net Effect (savings or increased revenues) expected to exceed $250,000 in any of
the three fiscal years after implementation of the act or at full implementation of the act.
ESTIMATED NET EFFECT ON LOCAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Local Government$0 or Up to
($9,273,657)
$0 or Up to
($11,003,389)
$0 or Up to
($10,878,389) L.R. No. 1413H.07C
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FISCAL ANALYSIS
ASSUMPTION
§§144.020 & 144.070 – Dealers to Remit Sales Tax
Officials from the Department of Revenue (DOR) assume the following regarding this
proposal:
§144.070.11
As soon as the Department's Motor Vehicle and Driver Licensing System integration and
modernization is completed, this provision requires all Missouri licensed dealers to collect and
remit the sales tax on all motor vehicles that the dealer sells. When collecting and with timely
remittance the dealer gets to keep two percent of taxes collected.
Administrative Impact
Motor Vehicle Bureau
The implementation of this legislation will be coordinated with the integration of the
Department’s Motor Vehicle and Driver Licensing software system approved and passed by the
General Assembly in 2020 (Senate Bill 176). Dealers collecting tax is a part of the new system
requirements. The administrative impact for this bill is inclusive within the Department’s
development and implementation of the new system.
Compliance and Investigations Bureau (CIB)
The proposal will have an impact on CIB as well. If dealers are collecting and remitting sales
tax, this will increase the responsibilities of CIB to ensure appropriate tax collection. Additional
resources will be requested through the appropriations process, if needed.
Oversight assumes DOR is provided with core funding to handle a certain amount of activity
each year. Oversight assumes DOR could absorb the costs related to this proposal. If multiple
bills pass which require additional staffing and duties at substantial costs, DOR could request
funding through the appropriation process.
Revenue Impact
DOR notes the following estimates have been made using data from FY 2022 state and local
sales tax collected on motor vehicles if the 2% timely discount is allowed for dealers that
remit sales tax.
Total amount of state sales tax collected for motor vehicles sold by dealers in FY 2022
= $417,111,230 x 2% = $8,342,225 - Estimated Loss in MV State Sales Tax L.R. No. 1413H.07C
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Total amount of local
= $340,659,669 x 2% = $6,813,193 - Estimated Loss MV Local Sales/Use Tax
Estimated loss of revenue annually = $15,155,418 ($757,770,899 x 2%)
This would be a decrease to state, city, and county funds
Dealers collecting sales tax at the time of purchase should result in an unknown increase in
Motor Vehicle sales tax collections. This increase should mitigate/offset the loss in sales tax
collections resulting from the 2% collection fee dealers will be able to retain.
FY 2024 (6
months)
FY 2025FY 2026Conservation($123,406)($246,811)($246,811)Parks, Soils & Water($98,725)($197,449)($197,449)School District Trust Fund($493,623)($987,246)($987,246)State Road Bond Fund($1,480,868)($2,961,737)($2,961,737)State Road Fund($1,480,868)($2,961,737)($2,961,737)Locals($493,623)($987,245)($987,245)Total($4,171,113)($8,342,225)($8,342,225)
Officials from the Office of Administration - Budget and Planning (B&P) assume the
following regarding this proposal:
Section 144.070
This proposal would require motor vehicle dealers to collect and remit sales taxes, rather than
applying the sales tax to the purchaser at the time of titling a vehicle. Motor vehicle dealers are
to begin collecting and remitting the sales tax after the development of DOR’s integrated motor
vehicle system.
B&P notes that motor vehicle dealers would be eligible for the 2% timely filing discount under
Section 144.140. Therefore, B&P estimates that this provision may reduce revenues to state and
local taxing jurisdictions.
B&P also notes that the 3% tax on motor vehicles is deposited into the State Road Bond Fund
(50%); the State Road Fund (36.5%); the State Transportation Fund (1%); and the Fuel Local
Deposit Fund (FLOYD) (12.5%) which is then distributed to local jurisdictions.
In addition to the 3% general tax, a tax of 1% is levied for education, 0.125% for Conservation,
and 0.1% for Parks, Soil and water. L.R. No. 1413H.07C
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In FY 2022, state 3% MV sales tax collections were $365,264,400. Based on the 3% amount,
B&P estimates that total taxable sales were $12,175,480,006. Therefore, B&P estimates that
granting the 2% timely filing discount to MV dealers would reduce state tax collections by up to
$9,070,733 (includes state sales tax minus FLOYD distributions) annually. In addition, B&P
estimates that this would reduce local sales tax collections by up to $11,128,389 (includes both
local sales tax plus FLOYD distributions) annually.
Table 1 shows the impact by fiscal year by impacted fund. B&P notes that the estimated impact
is “up to” the amounts shown as not all MV businesses may choose to actually collect and remit
the sales tax and not all businesses may qualify for the timely filing discount throughout a full
fiscal year.
Table 1: Impact by Fund and Fiscal Year FY 2024FY 2025FY 2026+State Funds
Education$0 or Up to($1,014,623)$0 or Up to($1,217,548)
Up
to ($1,217,548)Conservation$0 or Up to($253,656)$0 or Up to($304,387)
Up
to ($304,387)DNR$0 or Up to($202,925)$0 or Up to($243,510)
Up
to ($243,510)
State Road Bond
Fund$0 or Up to($3,043,870)$0 or Up to($3,652,644)
Up
to ($3,652,644)State Road Fund$0 or Up to($2,962,700)$0 or Up to($3,555,240)
Up
to ($3,555,240)
State
Transportation Fund$0 or Up to($81,170)$0 or Up to($97,404)
Up
to ($97,404)
Loss to All State
Funds$0 or Up to($7,558,944)$0 or Up to($9,070,733)
Up
to ($9,070,733)
Local Funds Fuel Local Deposit
(FLOYD)$0 or Up to($1,014,623)$0 or Up to($1,217,548)
Up
to ($1,217,548) L.R. No. 1413H.07C
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Sales Tax$0 or Up to($8,259,034)$0 or Up to($9,910,841)
Up
to ($9,910,841)
Loss to All Local
Funds$0 or Up to($9,273,657)$0 or Up to($11,128,389)
Up
to($11,128,389)
Oversight does not have information to the contrary and therefore, Oversight will reflect the
revenue loss estimates as provided by B&P. In addition, Oversight will reflect an “Unknown”
increase in revenue as indicated by DOR for the potential increase in sales tax collections due to
motor vehicle dealers having the ability to collect the sales tax at the time of sale – if those sales
taxes would not have otherwise been collected.
Oversight notes, DOR has indicated that the average estimated time to implement the new
integrated system is between three and five years; therefore, Oversight will reflect the fiscal
impact as $0 (new system has not been implemented yet) up to the estimates indicated by B&P
(new system has been implemented).
Officials from the Missouri Highway Patrol
their organization. Oversight does not have any information to the contrary. Therefore,
Oversight will reflect a zero impact in the fiscal note for the Missouri Highway Patrol.
In response to a similar proposal from 2023 (SCS for HB 15), officials from the Missouri
Department of Transportation deferred to the DOR for the potential fiscal impact of this
proposal.
Rule Promulgation
Officials from the Joint Committee on Administrative Rules assume this proposal is not
anticipated to cause a fiscal impact beyond its current appropriation.
Officials from the Office of the Secretary of State (SOS) note many bills considered by the
General Assembly include provisions allowing or requiring agencies to submit rules and
regulations to implement the act. The SOS is provided with core funding to handle a certain
amount of normal activity resulting from each year's legislative session. The fiscal impact for
this fiscal note to the SOS for Administrative Rules is less than $5,000. The SOS recognizes that
this is a small amount and does not expect that additional funding would be required to meet
these costs. However, the SOS also recognizes that many such bills may be passed by the
General Assembly in a given year and that collectively the costs may be in excess of what the L.R. No. 1413H.07C
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office can sustain with its core budget. Therefore, the SOS reserves the right to request funding
for the cost of supporting administrative rules requirements should the need arise based on a
review of the finally approved bills signed by the governor.
§304.822 – Siddens Bening Hands Free Law
Officials from the Department of Revenue (DOR) assume the following regarding this
proposal:
§304.822.3
Current law already provides for convictions for commercial vehicle operators who operate
mobile phones or text while driving. In fiscal year 2022, the Department added 59 convictions on
record. The Department assumes the new language would not result in a significant increase in
these convictions.
The Department does not have available data to determine the potential increase, however
officials assume it to be minimal enough to not require additional FTE. If the increase is more
significant than anticipated, or additional laws are passed that impact the staff who process
expungements, additional FTE will be requested through the appropriations process.
Administrative Impact
To implement the proposed legislation, the Department would be required to:
• Work with Missouri State Highway Patrol to create new charge codes for the new convictions.
• Develop new conviction codes in the Missouri Driver License (MODL) system.
• Work with OA-ITSD to add the new felony conviction code to the commercial disqualification
routine.
• Work with OA-ITSD to create an evaluation routine for the increased point assessment for
subsequent convictions in a 24 month period, and add the new conviction codes into the current
point evaluation routine.
• Update commercial disqualification routines as required.
• Work with OA-ITSD to apply edits to the new convictions codes for violation date and non-
allowance of a driver improvement program.
• Complete system programming and user acceptance testing of MODL and the Missouri
Electronic Driver License (MEDL) system.
• Update interactive applications for automated responses to customers through telephone system
(current vendor Genesys) or online (DORA).
• Update forms, the Department website, and the Missouri driver guide.
• Work with the Public Service Bureau to develop a communication plan.
• Train internal staff and affected external agencies. L.R. No. 1413H.07C
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FY 2024 – Driver License Bureau
Associate Research/Data Analyst 520 hrs. x $20.54 per hr. = $10,681
Research/Data Analyst 560 hrs. x $25.63 per hr. = $14,353
Administrative Manager 280 hrs. x $27.82 per hr. = $7,790
Total = $32,824
FY 2024 – Public Service Bureau
Associate Research/Data Analyst 80 hrs. x $20.54 per hr. = $1,643
Total = $34,467
Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs DOR has indicated on the
fiscal note.
DOR notes OA-ITSD services will be required at a cost of $33,653 in FY 2024 (354.24 hours x
$95 per hour).
Oversight does not have any information to the contrary in regards to DOR’s assumptions;
therefore, Oversight will reflect DOR’s OA-ITSD costs on the fiscal note.
DOR notes the fiscal impact estimated above is based on changes in the current system
environment. The implementation of this legislation will be coordinated with the integration of
the Department’s Motor Vehicle and Driver Licensing software system approved and passed by
the General Assembly in 2020 (Senate Bill 176). To avoid duplicative technology development
and associated costs to the state, it is recommended a delayed effective date be added to this bill
to correlate with the installation of the new system.
Officials from the Department of Corrections (DOC) assume this proposal enacts provisions
relating to the operation of motor vehicles.
Section 304.820 is repealed with section 304.822 replacing it, adding a class D felony offense.
As these are new crimes, there is little direct data on which to base an estimate, and as such, the
department estimates an impact comparable to the creation of a new class D felony.
For each new nonviolent class D felony, the department estimates three people will be sentenced
to prison and five to probation. The average sentence for a nonviolent class D felony offense is 5
years, of which 2.8 years will be served in prison with 1.7 years to first release. The remaining
2.2 years will be on parole. Probation sentences will be 3 years.
The cumulative impact on the department is estimated to be 8 additional offenders in prison and
22 additional offenders on field supervision by FY 2028. L.R. No. 1413H.07C
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# to
prison
Cost per
year
Total Costs for
prison
# to
probation
& parole
Cost per
year
Total cost
for
probation
and parole
Grand Total -
Prison and
Probation
(includes 2%
inflation)
Year 13($9,499)($23,748)5absorbed$0($23,748)Year 26($9,499)($58,134)10absorbed$0($58,134)Year 38($9,499)($79,062)16absorbed$0($79,062)Year 48($9,499)($80,643)19absorbed$0($80,643)Year 58($9,499)($82,256)22absorbed$0($82,256)Year 68($9,499)($83,901)22absorbed$0($83,901)Year 78($9,499)($85,579)22absorbed$0($85,579)Year 88($9,499)($87,291)22absorbed$0($87,291)Year 98($9,499)($89,037)22absorbed$0($89,037)Year 108($9,499)($90,817)22absorbed$0($90,817)
Oversight does not have information to the contrary and therefore, Oversight will reflect the
estimates as provided by DOC.
Officials from the Office of the State Public Defender (SPD) assume the creation of a new
offense under Section 304.822 would have an unknown fiscal impact on SPD. It is unknown
how many additional cases would be eligible for SPD representation.
Oversight notes in FY 2022, the SPD was appropriated moneys for 53 additional FTE.
Oversight assumes this proposal will create a minimal number of new cases and that the SPD can
absorb the additional caseload required by this proposal with current staff and resources.
Therefore, Oversight will reflect no fiscal impact to the SPD for fiscal note purposes. However,
if multiple bills pass which require additional staffing and duties, the SPD may request funding
through the appropriation process.
Officials from the Missouri Highway Patrol
their organization. Oversight does not have any information to the contrary. Therefore,
Oversight will reflect a zero impact in the fiscal note for MHP. L.R. No. 1413H.07C
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In response to a similar proposal from 2023 (Perfected SS for SCS for SB Nos. 56 & 61),
officials from the Department of Commerce and Insurance, Department of Elementary and
Secondary Education, Missouri Department of Transportation and Missouri Office of
Prosecution Services each assumed the proposal would have no fiscal impact on their respective
organizations. Oversight does not have any information to the contrary. Therefore, Oversight
will reflect a zero impact in the fiscal note for these agencies.
In response to a similar proposal from 2023 (Perfected SS for SCS for SB Nos. 56 & 61),
officials from the Office of the State Courts Administrator
no fiscal impact on their organization. Oversight does not have any information to the contrary.
Therefore, Oversight will reflect a zero impact in the fiscal note for OSCA.
Oversight notes, according to data provided by the Office of the State Courts Administrator,
there were 46 infractions (guilty pleas) in FY 2022 for the offense of 21 years of age and under
texting while driving and 39 infractions (guilty pleas) for operating a CMV while texting,
currently both with an approximate fine of $83 per ticket.
Of the $83 fine, $20.50 goes to local schools as fine revenue and the remaining $62.50 goes to
various state and local funds for court costs.
This proposal establishes fines for convictions starting at $50 (no prior conviction within the
preceding 24 months) up to $250 (conviction for violation that occurred in a work zone or school
zone). This proposal also establishes misdemeanor and felony classes for certain violations.
Oversight is unable to determine how many violations, and which class of violation, will occur
as a result of this proposal; therefore, Oversight will reflect an “Unknown, less than $125,000”
fiscal impact to the state. Oversight will reflect an unknown amount of fine revenue and court
costs to local political subdivisions.
Oversight will not show the fiscal impact until FY 2025 (6 months) as the proposal mandates
prior to January 1, 2025, law enforcement shall only issue a warning to noncommercial motor
vehicle drivers for any of these violations.
Additional fine revenue received by local school districts may count as a deduction in the
following year in determining their state aid apportionment, if the district is not a 'hold harmless'
district. For simplicity, Oversight will only reflect the increase in fine revenue as a positive
impact to local political subdivisions.
§§407.812 & 407.828 – Motor Vehicle Franchise Practices Act
Officials from the Department of Revenue (DOR) assume the following regarding this
proposal:
Administrative Impact L.R. No. 1413H.07C
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To implement the proposed legislation, the Department will be required to:
• Update the Missouri titling manual;
• Make changes to procedures, correspondence letters, forms, and the Department website;
• Provide License Offices and stakeholders these changes as applicable; and
• Train staff
FY 2024- Motor Vehicle Bureau
Associate Research/Data Analyst 40 Hrs @ $19.90 = $796
Lead Admin Assistant 20 Hrs @ $17.05 = $341
Administrative manager 5 Hrs @ $26.96 = $135
FY 2024 Strategy and Communications Office
Associate Research/Data Analyst 10 Hrs @ $19.90 = $199
Total Cost =$1,471
The Department anticipates absorbing these costs and that there will be Minimal Impact. If
multiple bills are passed that require department resources, FTE may be requested through the
appropriations process.
Oversight assumes DOR will use existing staff and will not hire additional FTE to conduct these
activities; therefore, Oversight will not reflect the administrative costs DOR has indicated on the
fiscal note.
In response to a previous version, officials from the Attorney General’s Office and Missouri
Department of Transportation each assumed the proposal would have no fiscal impact on their
respective organizations. Oversight does not have any information to the contrary. Therefore,
Oversight will reflect a zero impact in the fiscal note for these agencies.
Officials from the Office of Administration and Office of Administration - Administrative
Hearing Commission each assume the proposal will have no fiscal impact on their respective
organizations. Oversight does not have any information to the contrary. Therefore, Oversight
will reflect a zero impact in the fiscal note for these agencies. L.R. No. 1413H.07C
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FISCAL IMPACT – State
Government
FY 2024
(10 Mo.)
FY 2025FY 2026GENERAL REVENUE
FUND
Cost – DOR – OA-ITSD
services (§304.822) p. 8($33,653)$0$0
Cost – DOC – increase in
number of offenders due to
creation of a new felony for
distracted driving which
causes the death of another
person (§304.822) p. 8-9($23,748)($58,134)($79,062)
ESTIMATED NET EFFECT
ON THE GENERAL
REVENUE FUND($57,401)($58,134)($79,062)
VARIOUS STATE FUNDSRevenue - Court costs from
using an electronic wireless
communication device while
driving (§304.822) p. 13$0
Less than
$125,000
Less than
$250,000
ESTIMATED NET EFFECT
ON VARIOUS STATE
FUNDS $0
Less than
$125,000
Less than
$250,000 L.R. No. 1413H.07C
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FISCAL IMPACT – State
Government (continued)
FY 2024
(10 Mo.)
FY 2025FY 2026CONSERVATION
COMMISSION FUND
(0609)
Revenue – potential increase in
sales tax collection due to
dealers having the ability to
collect sales tax at the time of
sale (§§144.020 & 144.070) p.
5-6$0 or Unknown $0 or Unknown $0 or Unknown
Loss – 2% timely fee possibly
being retained by dealerships
(§§144.020 & 144.070) p. 5-6
$0 or Up to
($253,656)
$0 or Up to
($304,387)
$0 or Up to
($304,387)
ESTIMATED NET EFFECT
ON THE CONSERVATION
COMMISSION FUND
$0 or Up to
($253,656)
$0 or Up to
($304,387)
$0 or Up to
($304,387)
PARKS, SOIL AND
WATER FUND (0613 &
0614)
Revenue – potential increase in
sales tax collection due to
dealers having the ability to
collect sales tax at the time of
sale (§§144.020 & 144.070) p.
5-6$0 or Unknown$0 or Unknown$0 or Unknown
Loss – 2% timely fee possibly
being retained by dealerships
(§§144.020 & 144.070) p. 5-6
$0 or Up to
($202,925)
$0 or Up to
($243,510)
$0 or Up to
($243,510) L.R. No. 1413H.07C
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ESTIMATED NET EFFECT
ON THE PARKS, SOIL
AND WATER FUND
$0 or Up to
($202,925)
$0 or Up to
($243,510)
$0 or Up to
($243,510)
FISCAL IMPACT – State
Government (continued)
FY 2024
(10 Mo.)
FY 2025FY 2026SCHOOL DISTRICT
TRUST FUND (0688)
Revenue – potential increase in
sales tax collection due to
dealers having the ability to
collect sales tax at the time of
sale (§§144.020 & 144.070) p.
5-6$0 or Unknown$0 or Unknown$0 or Unknown
Loss – 2% timely fee possibly
being retained by dealerships
(§§144.020 & 144.070) p. 5-6
$0 or Up to
($1,014,623)
$0 or Up to
($1,217,548)
$0 or Up to
($1,217,548)
ESTIMATED NET EFFECT
ON THE SCHOOL
DISTRICT TRUST FUND
$0 or Up to
($1,014,623)
$0 or Up to
($1,217,548)
$0 or Up to
($1,217,548)
STATE ROAD BOND
FUND (0319)
Revenue – potential increase in
sales tax collection due to
dealers having the ability to
collect sales tax at the time of
sale (§§144.020 & 144.070) p.
5-6$0 or Unknown$0 or Unknown$0 or Unknown
Loss – 2% timely fee possibly
being retained by dealerships
(§§144.020 & 144.070) p. 5-6
$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644)
$0 or Up to
($3,652,644) L.R. No. 1413H.07C
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ESTIMATED NET EFFECT
ON THE STATE ROAD
BOND FUND
$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644)
$0 or Up to
($3,652,644)
FISCAL IMPACT – State
Government (continued)
FY 2024
(10 Mo.)
FY 2025FY 2026STATE ROAD FUND (0320)Revenue – potential increase in
sales tax collection due to
dealers having the ability to
collect sales tax at the time of
sale (§§144.020 & 144.070) p.
5-6$0 or Unknown$0 or Unknown$0 or Unknown
Loss – 2% timely fee possibly
being retained by dealerships
(§§144.020 & 144.070) p. 5-6
$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644
$0 or Up to
($3,652,644)
ESTIMATED NET EFFECT
ON THE STATE ROAD
FUND
$0 or Up to
($3,043,870)
$0 or Up to
($3,652,644)
$0 or Up to
($3,652,644) L.R. No. 1413H.07C
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FISCAL IMPACT – Local
Government
FY 2024
(10 Mo.)
FY 2025FY 2026LOCAL POLITICAL
SUBDIVISIONS
Revenue – potential increase in
sales tax collection due to dealers
having the ability to collect sales
tax at the time of sale (§§144.020 &
144.070) p. 5-6
$0 or
Unknown$0 or Unknown$0 or Unknown
Revenue – Schools Fine revenue
from expansion of using an
electronic wireless communication
device while driving (§304.822) p.
10 $0UnknownUnknown
Revenue - Court costs from using
an electronic wireless
communication device while
driving (§304.822) p. 10$0
Less than
$125,000
Less than
$250,000
Loss – (FLOYD) - 2% timely fee
possibly being retained by
dealerships (§§144.020 & 144.070)
p. 5-6
$0 or Up to
($1,014,623)
$0 or Up to
($1,217,548)
$0 or Up to
($1,217,548)
Loss – (local sales tax only) - 2%
timely fee possibly being retained
by dealerships (§§144.020 &
144.070) p. 5-6
$0 or Up to
($8,259,034)
$0 or Up to
($9,910,841)
$0 or Up to
($9,910,841)
ESTIMATED NET EFFECT ON
LOCAL POLITICAL
SUBDIVISIONS
$0 or Up to
($9,273,657)
$0 or Up to
($11,003,389)
$0 or Up to
($10,878,389) L.R. No. 1413H.07C
Bill No. HCS for SS for SCS for SB 398
Page 17 of 17
May 1, 2023
KB:LR:OD
FISCAL IMPACT – Small Business
Small motor vehicle dealerships could be impacted as a result of this proposal.
FISCAL DESCRIPTION
Every licensed motor vehicle dealer must collect and remit sales tax on all motor vehicles sold.
The Director of the Department of Revenue may promulgate rules and regulations for the
administration of this bill.
This legislation is not federally mandated, would not duplicate any other program and would not
require additional capital improvements or rental space.
SOURCES OF INFORMATION
Department of Revenue
Office of Administration - Budget and Planning
Missouri Highway Patrol
Missouri Department of Transportation
Office of the Secretary of State
Joint Committee on Administrative Rules
Office of Administration
Office of Administration - Administrative Hearing Commission
Department of Corrections
Office of the State Public Defender
Missouri Office of Prosecution Services
Office of the State Courts Administrator
Department of Commerce and Insurance
Department of Elementary and Secondary Education
Julie MorffRoss StropeDirectorAssistant DirectorMay 1, 2023May 1, 2023