MO SJR46

Eliminates state income tax entirely, with a 3% cap for tax years beginning January 1, 2016, and complete elimination for tax years beginning January 1, 2018; prohibits counties and political subdivisions from imposing income taxes except those lawfully enacted by cities before January 1, 2015.

Imposes a new state sales and use tax effective January 1, 2016, at a maximum rate of 5% (4% on food) prior to January 1, 2018, with combined rate caps of 7% on non-food items and 5.5% on food after January 1, 2018.

Repeals most existing sales and use tax exemptions effective January 1, 2016, while maintaining exemptions for specified items including professional services, real property, utilities, pharmaceuticals, education, agricultural goods, manufacturing equipment, insurance, and government/charitable purchases.

Requires the general assembly to enact legislation by January 1, 2018, to provide property tax relief for senior citizens and disabled individuals through income tax credits, replacing previous homestead exemptions.

Creates a property tax relief credit for homeowners age 65 and older with incomes of $75,000 or less, providing a credit equal to 50% of property tax increases exceeding 5% in reassessment years (2.5% in non-reassessment years), with the state reimbursing local governments 75% of credits issued.