HB 2111 Summary

• Repeals and replaces sections 66.620, 66.630, 94.850, and 94.857 of Missouri Revised Statutes relating to county and municipal sales tax distribution formulas.

• Modifies the distribution of county sales tax revenue beginning January 1, 2015, replacing the existing complex redistribution formula with a transition period and eventually moving to a simpler population-based distribution system by January 1, 2016.

• Changes the distribution of motor vehicle sales taxes collected on certificates of title by gradually increasing the percentage distributed under section 66.620 from 75% (through December 31, 2014) to 100% (beginning January 1, 2016).

• Allows cities with populations of 900,000 or more and charter government to impose sales taxes of one-eighth, one-fourth, three-eighths, or one-half of one percent (previously limited to one-eighth or one-fourth percent).

• Modifies the municipal sales tax distribution formula for special cities beginning January 1, 2015, to distribute all tax revenue based on the location where sales were consummated rather than applying the previous complex redistribution methodology.