The state senate gets its first look at a proposal to kill the income tax.
The proposal is billed as a new approach to economic development, with the sponsor arguing companies will come to Missouri or existing companies will grow more if they pay no corporate taxes and their employees pay no income taxes.
Senator Chuck Purgason of Caulfield proposes higher sales taxes to replace income taxes. He also wants to eliminate the Department of Economic Development and all of the tax credits at its disposal. “It’s a novel concept,” he says, “Give entrepreneurs what they want the most, and that is to be left alone.”
Purgason argues the state will collect more in sales taxes than it would lose in corporate and income taxes because people with more money in their pockets will buy more.
The bill has been discussed but not debated. He hopes to bring it back in several days for that abater asking fellow senators to get familiar with his proposal.