Analysis of HJR 36 “Fair” Tax Plan
reportEarlier this week, the Missouri Senate Ways and Means Committee held a hearing on House Joint Resolution 36, which would eliminate the state’s individual and corporate income taxes while increasing the state’s sales tax rate and applying the sales tax to all consumer spending. The bill would also introduce a sales tax rebate to offset some of the sale tax increase on Missourians.
This report analyzes the impact of HJR 36 on Missouri tax rates and tax fairness. The report finds that this bill would raise taxes on middle class workers and their families, would require a statewide sales tax rate of about 12.5 percent to achieve the outcomes specified in the bill, and would likely further expose Missouri to the negative impact of future economic downturns.
Read the Full Report (PDF)
Read the Press Release (PDF)