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News : Grundy County Commission Holds Meeting To Explain Use Tax
Posted by Randy on 2014/3/20 9:39:09 (399 reads) News by the same author

Grundy County Commissioners hold a public meeting March 27th to explain the use tax question on the ballot in Grundy County April 8th.
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The public meeting is the night of March 27th at 6 o'clock at the Kansas City Power and Light meeting room in Trenton.

Commissioners say the tax would produce an estimated $69,000 for the County. It involves out of state purchases totaling more than $2,000 in a calendar year. Commissioners say the average consumer will pay relatively little, if any, use tax. They say those exceeding the $2,000 limit generally are large scale purchasers, primarily big business, and industry.

The use tax would be the same rate as the combined County sales taxes---1 ½%.

Commissioners also say the use tax is designed to eliminate what they call an unfair economic advantage businesses who sell across state lines have over hometown merchants.

It's called a use tax because it involves out-of-state goods or materials that are shipped into Missouri and used by the purchaser. Commissioners say raw materials and items purchased for resale are not charged the use tax.

Commissioners say the tax will preserve county services and remove the pressure to raise local taxes to make-up for sales tax revenue lost to other states.

The State of Missouri already collects a use tax equal to the State's in-state sales tax rate. In addition, 56 of Missouri's 114 counties have implemented a use tax. All of the counties surrounding Grundy already have the tax.

Grundy County currently is able to collect use tax on motor vehicles purchased out of state. However, Presiding Commissioner, Rick Hull, says the County must pass a local use tax by the year 2016 to maintain that ability to tax those vehicles. The proposal on the April ballot would do that, plus add other items to the use tax.

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