| 1 | 1 | | FIRSTREGULARSESSION |
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| 2 | 2 | | HOUSEBILLNO.821 |
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| 3 | 3 | | 103RDGENERALASSEMBLY |
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| 4 | 4 | | INTRODUCEDBYREPRESENTATIVECHAPPELL. |
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| 5 | 5 | | 1666H.01I JOSEPHENGLER,ChiefClerk |
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| 6 | 6 | | ANACT |
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| 7 | 7 | | Toamendchapter144,RSMo,byaddingtheretoonenewsectionrelatingtothefairtaxactof |
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| 8 | 8 | | 2025,withareferendumclause. |
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| 9 | 9 | | BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows: |
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| 10 | 10 | | SectionA.Chapter144,RSMo,isamendedbyaddingtheretoonenewsection,tobe |
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| 11 | 11 | | 2knownassection144.001,toreadasfollows: |
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| 12 | 12 | | 144.001.1.Thissectionshallbeknownandmaybecitedasthe"FairTaxActof |
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| 13 | 13 | | 22025". |
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| 14 | 14 | | 3 2.ForalltaxyearsbeginningonorafterJanuary1,2028,notaxshallbe |
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| 15 | 15 | | 4imposeduponanyincomederivedfromanysourcewithinthisstate,andallrevenues |
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| 16 | 16 | | 5lostasaresultoftheprohibitiononthetaxationofincomeunderthissectionshallbe |
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| 17 | 17 | | 6replacedbythelevyandimpositionofataxuponalluseorconsumptionoftaxable |
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| 18 | 18 | | 7propertyorservicesinthisstate.Therateofsuchtaxshallbefiveandelevenone- |
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| 19 | 19 | | 8hundredthspercent.Thegeneralassemblymayenactoneadjustmentafterthe |
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| 20 | 20 | | 9impositionofsuchtaxiftherevenuelostasaresultoftheprohibitiononthetaxationof |
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| 21 | 21 | | 10incomeisgreaterthanorlessthantherevenuereceivedfromthetaximposedunderthis |
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| 22 | 22 | | 11section.Suchadjustmentshallbecalculatedtoensurethattheamountofrevenue |
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| 23 | 23 | | 12receivedisequaltotheamountofrevenuelostunderthissection. |
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| 24 | 24 | | 13 3.Thetaxesthatshallbereplacedunderthissectionareasfollows: |
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| 25 | 25 | | 14 (1)Withholdingtaxesandindividualandcorporateincometaxation; |
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| 26 | 26 | | 15 (2)Corporationfranchiseandbankfranchisetaxes; |
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| 27 | 27 | | 16 (3)Alltaxexemptionsanddeductionsrelatedtoincomeandsalestaxes; |
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| 28 | 28 | | 17 (4)Theestatetax;and |
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| 29 | 29 | | EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis |
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| 30 | 30 | | intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 18 (5)Allotherstatetaxesonanysourceofincome. |
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| 31 | 31 | | 19 4.Thedepartmentofrevenueshalldetermineamethodforprovidingamonthly |
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| 32 | 32 | | 20salestaxrebateforeachqualifiedfamily.Thesalestaxrebateshallbedistributedto |
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| 33 | 33 | | 21eachqualifiedfamilyonorbeforethefirstbusinessdayofthemonthforwhichthesales |
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| 34 | 34 | | 22taxrebateisbeingprovided.Theamountofthesalestaxrebateshallbedetermined |
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| 35 | 35 | | 23annuallyandbeequaltotheproductoftherateofsalestaxestablishedunderthis |
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| 36 | 36 | | 24sectionandone-twelfthoftheannualpovertyguidelinesupdatedperiodicallyinthe |
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| 37 | 37 | | 25FederalRegisterbytheU.S.DepartmentofHealthandHumanServicesunderthe |
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| 38 | 38 | | 26authorityof42U.S.C.269902(2),asamended. |
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| 39 | 39 | | 27 5.Thedepartmentofrevenuemaypromulgateallnecessaryrulesand |
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| 40 | 40 | | 28regulationsfortheadministrationofthissection.Anyruleorportionofarule,asthat |
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| 41 | 41 | | 29termisdefinedinsection536.010,thatiscreatedundertheauthoritydelegatedinthis |
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| 42 | 42 | | 30sectionshallbecomeeffectiveonlyifitcomplieswithandissubjecttoallofthe |
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| 43 | 43 | | 31provisionsofchapter536and,ifapplicable,section536.028.Thissectionandchapter |
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| 44 | 44 | | 32536arenonseverableandifanyofthepowersvestedwiththegeneralassembly |
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| 45 | 45 | | 33pursuanttochapter536toreview,todelaytheeffectivedate,ortodisapproveandannul |
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| 46 | 46 | | 34arulearesubsequentlyheldunconstitutional,thenthegrantofrulemakingauthority |
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| 47 | 47 | | 35andanyruleproposedoradoptedaftertheeffectivedateofthissectionshallbeinvalid |
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| 48 | 48 | | 36andvoid. |
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| 49 | 49 | | SectionB.SectionAofthisactisherebysubmittedtothequalifiedvotersofthisstate |
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| 50 | 50 | | 2forapprovalorrejectionatanelectionwhichisherebyorderedandwhichshallbeheldand |
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| 51 | 51 | | 3conductedonTuesdaynextfollowingthefirstMondayinNovember,2026,underthe |
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| 52 | 52 | | 4applicablelawsandconstitutionalprovisionsofthisstateforthesubmissionofreferendum |
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| 53 | 53 | | 5measuresbythegeneralassembly,andthisactshallbecomeeffectivewhenapprovedbya |
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| 54 | 54 | | 6majorityofthevotescastthereonatsuchelectionandnototherwise. |
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| 55 | 55 | | SectionC.Pursuanttochapter116,andotherapplicableconstitutionalprovisionsand |
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| 56 | 56 | | 2lawsofthisstateallowingthegeneralassemblytoadoptballotlanguageforthesubmissionof |
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| 57 | 57 | | 3thisacttothevotersofthisstate,theofficialsummarystatementofthisactshallbeas |
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| 58 | 58 | | 4follows: |
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| 59 | 59 | | 5 "ShalltheMissouristatutesbeamendedtoeliminateindividualandcorporateincome |
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| 60 | 60 | | 6taxandestatetax,andtoenactasingle,revenue-neutralsalestaxoffiveandelevenone- |
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| 61 | 61 | | 7hundredthspercentonnewpurchasesofgoodsandservices,andtoprovideeachfamilywith |
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| 62 | 62 | | 8amonthlysalestaxrebate?". |
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| 63 | 63 | | âś” |
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| 64 | 64 | | HB821 2 |
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