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Missouri earnings tax measure remains on the ballot; challenge rejected

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September 21, 2010

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KANSAS CITY, Missouri: Proposition A, also known as the "earnings tax initiative," will appear on this Fall's ballot following a September 20 ruling by Cole County Circuit Judge Jon Beetem. Three days following the court hearing Judge Beetem ruled that any allegations regarding the measure should be raised in a lawsuit following the November elections and rejected the challenges raised by Kansas City officials.[1]

The lawsuit alleged that the measure violated the state's single-subject rule, failed to make necessary distinctions between personal and business versions of the tax and mandates elections without funding them..[2]

If the measure is approved by voters on November 2, voters in Kansas City and St. Louis would hold a referendum on keeping the earnings tax levy in 2011 and every five years thereafter. If the levy is rejected by voters the tax would be phased out and could not be reinstated.

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