HCS HB 1765 -- SALES/USE TAX:  SIMPLIFIED SALES TAX SYSTEM

SPONSOR:  Hilgemann (Bray)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Ways and
Means by a vote of 12 to 6.

This substitute creates the Simplified Sales and Use Tax
Administration Act.

The substitute allows the State of Missouri to enter into the
Streamlined Sales and Use Tax Agreement with one or more states
to simplify the sales and use tax laws and bring the laws into
general conformity among the agreeing states.  The substitute
also allows the state to continue negotiations with other states
to determine the best approach for obtaining conformity.

The Department of Revenue may adopt administrative rules and
procure goods and services in furtherance of the cooperative
agreement.

The substitute also provides for the development of certified
service providers for the purpose of collecting and remitting
sales and use taxes on behalf of sales and use taxpayers.

The substitute contains an emergency clause.

FISCAL NOTE:  Total Estimated Net Income to Various State Funds
of $0 to Unknown in FY 2003, FY 2004, and FY 2005.

PROPONENTS:  Supporters say that the bill puts the state at the
table with other states to adopt standards of a simplified sales
and use tax system that levels the playing field for both main
street businesses and remote sales businesses.  Being at the
table will allow Missouri input into the final agreement and may
allow the state to preserve components of our tax system that are
popular.

Testifying for the bill were Representative Bray; Department of
Revenue; and Missouri Retailers Association.

OPPONENTS:  There was no opposition voiced to the committee.

Bill Tucker, Assistant Director of Research

Missouri House of Representatives
Last Updated October 11, 2002 at 9:02 am