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Nixon Vetoes Vehicle Tax Bill

Governor.Mo.gov

For the second year in a row, Governor Jay Nixon has vetoed legislation that would have allowed sales and use taxes to be levied on cars, boats, and other vehicles purchased outside of Missouri.

Last year’s version would have retroactively levied taxes on people who bought a vehicle in another state. That provision was removed from this year’s bill, and it would have required local governments to hold a vote on whether to block collecting taxes on out-of-state vehicle purchases. Karen Buschmann with the Missouri Chamber says they’re surprised that the measure was vetoed again.

“Had we known of his reservations, we would have worked with lawmakers to address his concerns before the legislation was sent to his desk for (his) signature,” Buschmann said. “Fortunately there’s still enough time to pass an alternate bill, amend this to another existing bill.”

Meanwhile, the Associate Press reports that the bill’s sponsor, GOP Senator Mike Kehoe of Jefferson City, will try to again to get the bill passed before the legislative session ends next month. In his veto letter, Nixon says this year’s bill was better than last year’s, but that the tax repeal section still contained flaws.

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