Missouri House Oks intends to lower personal property tax rate

In accordance with the legislation sponsored by the representative Richard West, R-Wentzville, the rate of personal property would decrease by 50% over three years, reducing the tax revenues to be in local governments by 909 million.

The legislation is among an Number of tax discounts Being promoted this year by Republicans, including the proposed discounts of income tax, profit tax and state share in the capital earnings.

Each would reduce the revenues that will go to state and local covers, without a clear way to replace financing.

Currently, personal property taxes are based on a rate that is one third of the vehicle value. The plan would drop the rate to 18%.

West said that local governments can replace lost income by finding other taxes for increase.

“I think the government spends too much money,” West said. “I guarantee you if you put this today on the ballot … it would pass 70%.”

Republican colleagues in the West support the proposal.

“I fought with a revolution for this premise,” said Rep. Darin Chappell, R-Rogersville. “Our people who return home are drowning in government overeating.”

“This will save money if they own a vehicle,” added the representative Brian Seitz, R-Branson. “It will save everyone’s money.”

The representative Mark Matthiesen, R-O’Fallon, said that the current establishment “punishes” people for holding a car.

“If you want to be a productive citizen and go to work, you have to own a vehicle,” said Matthiesen.

But democrats have claimed that it will create a significant financing gap for local administrations.

“I don’t think I should defuse the police,” said Rep. Michael Burton, D-Lakeshire.

“The roads end. Our schools are challenged, ”added Rep. Mark Boyko, D-Kirkwood.

Personal property tax was in the crossing of the legislature before.

Former Senator Bill Eigel, R-Weldon Spring, did The key side of his unsuccessful run for the governor in 2024.

Supporters say people pay a tax at the point of purchase and should not be subject to an ongoing fee for that product.

But the efforts did not find a solid basis against the background of concerns that schools, hospitals and old people who are based on receipts will have to reduce the services.

“In some of our smaller communities, it could lead to stopping services,” said Rep. Kathy Steinhoff, D-Colombia.

The measure also needs a vote in the room before moving to the Senate for an additional debate.

The legislation is Bill House 903.