MO HB1361

Political subdivisions may adopt a resolution to replace personal property taxes with a local sales tax at a rate designed to produce equal revenue, subject to voter approval.

A ballot measure must specify the sales tax percentage rate and the number of years over which the property tax will be phased out.

Revenue collected is deposited into a "Political Subdivision Property Tax Replacement Sales Tax Fund" with one percent retained by the state for collection costs.

The sales tax may be repealed by voter approval at any election or through a citizen petition signed by at least 10 percent of registered voters from the last gubernatorial election.

If repealed, remaining funds in the trust fund continue to be used for the designated purposes, with the director of revenue retaining two percent for one year to cover refunds before remitting the balance to the political subdivision.