MO SJR24

Submits constitutional amendment to Missouri voters in November 2014 eliminating state income taxes and replacing lost revenue with expanded sales and use tax effective January 1, 2017.

Phases out individual and corporate income taxes at minimum 25 percent per year until fully eliminated by January 1, 2021, with all revenue replaced by consumption tax.

Exempts business purchases and investment property from sales tax; excludes motor fuel subject to excise tax and insurance premiums; allows legislature to create rebates or prebates for qualified residents.

Sets general revenue sales tax rate at 4 percent initially with maximum cap of 7 percent; requires Department of Revenue to recalculate local tax rates by August 31, 2018 to maintain revenue neutrality based on five-year average collections.

Requires state treasurer to annually recalculate tax rates as income tax is reduced and present recommendations to legislature via concurrent resolution process; if legislature fails to approve, income tax automatically reduces by 20 percent annually.