Most ballot measures require voters to support an issue with a yes vote. Next Tuesday, one confusing ballot measure is asking voters to support it by casting a no vote. The issue that will be decided …
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Most ballot measures require voters to support an issue with a yes vote.Next Tuesday, one confusing ballot measure is asking voters to support it by casting a no vote.The issue that will be decided by voters in Warrenton, Truesdale and Innsbrook is to continue an existing sales tax on some purchases made out of state. The ballot measure is referred to as Proposition 1 in Warrenton and Truesdale.Currently, all three municipalities impose a local sales tax on the titling of motor vehicles, trailers, boats and outboard motors purchased from a source other than a licensed Missouri dealer.The ballot measure does not create a new tax, but rather allows all three cities to continue a tax already being collected.City officials note that the ballot language is confusing.“I think it’s very misleading,” said attorney Chris Graville, who represents Warrenton and Innsbrook, at a previous meeting. “Most people would think, if’ I’m going to vote for a tax, I vote yes, but basically, if you want to vote for the tax, you have to vote no.”The existence of the sales tax creates a level playing field for Missouri dealerships, officials noted. If the tax is discontinued, out-of-state dealerships would no longer be required to collect the tax. Similar purchases made in-state will be subject to the local sales tax regardless of the outcome of next Tuesday’s election. Missouri automobile dealers support the sales tax, according to the Missouri Municipal League.If the tax is discontinued, it would result in Warrenton losing approximately $63,000 in sales tax revenue annually. The amount is much smaller in both Truesdale and Innsbrook, officials said.In 2013, Missouri lawmakers approved imposing a state and local sales taxes on the sale of motor vehicles, trailers, boats and outboard motors at the time the buyer went to get a title on the new purchase. According to the law, the residence of the purchase is used to determine the local tax rate.Officials said all taxing jurisdictions that have not previously approved a local use tax must proceed with a ballot measure allowing voters to decide whether or not to discontinue collecting sales tax on the out-of-state purchases.Governments across Missouri must put the sales tax proposal on the ballot no later than November.Sales Tax