Governor Parson calls special session to discuss vehicle sales tax ruling

2 months 3 weeks 3 days ago Wednesday, August 21 2019 Aug 21, 2019 Wednesday, August 21, 2019 12:44:00 PM CDT August 21, 2019 in News
By: Mavrick Alexander, KOMU 8 Digital Producer

COLUMBIA - Governor Mike Parson issued a proclamation Wednesday ordering the state legislature to convene in a special session.

A statement from the governor's office said the session will focus on amending a state statute to allow the sales proceeds of more than one vehicle, trailer, boat, or outboard motor to be used as a credit against the sales tax owed on the purchase of another.

The Missouri Supreme Court ruled in June that the sales proceeds of only one vehicle may be used as a credit against the sales tax owed on the purchase of a new vehicle.

“The enforcement of this decision would create a financial burden on Missouri taxpayers and unnecessary government red tape that we can proactively prevent," Parson said.

The Department of Revenue allowed people to count earnings from selling multiple vehicles against the sales tax of a replacement car.

The legislature may amend the state law during special session to allow for the sale of multiple vehicles to be used as a credit.

In a response to the governor's announcement, House Minority Leader Crystal Quade (D-Springfield) said tightening state gun laws and improving child health care should take priority in calling a special session.

"There are several issues that demand immediate legislative attention and would justify the cost of a special session. Creating another unnecessary tax break for a handful of people isn’t one of them," she said.

The special session begins September 9 and will run concurrently with the veto session.

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