MO SJR29

Submits a constitutional amendment to Missouri voters for the November 2010 election that eliminates all individual and corporate income taxes, withholding taxes, corporation and bank franchise taxes, and existing state sales and use taxes effective January 1, 2012.

Replaces eliminated taxes with a single sales and use tax of 5.11% on consumption of new taxable property and services, excluding intangible property, used property, and purchases for business or investment purposes.

Establishes a Tax Adjustment Commission comprising the governor, house budget committee chair, and senate appropriations committee chair to recommend a one-time rate adjustment by January 1, 2013, to ensure revenue neutrality based on three-year average of repealed taxes.

Provides monthly sales tax rebates to qualified households equal to the sales tax rate multiplied by one-twelfth of the federal poverty guidelines, ensuring no state sales tax is paid on purchases up to poverty level.

Requires local political subdivisions to recalculate their tax rates to produce the same or substantially similar revenue as collected in the immediately previous fiscal year, and exempts new tax from the state revenue limitation in article X, section 18 of the constitution.