Tuesday, December 8, 2009

Stop Missouri Double Taxation on real estate and say Yes to a new constitutional amendment and log on to YesToSaveHomes.com.

Let’s stop Missouri politicians from penalizing homeowners and buyers

Missouri is one of 13 states that does not levy a transfer tax on home sales, and a coalition of property owners, businesses and the Missouri Association of REALTORS™ want to keep it that way.

The group sees transfer taxes as double taxation because Missourians already pay property taxes on real estate. A petition drive and a website have been created to help homeowners and potential buyers reach lawmakers who have the power to levy such a tax.

To place a state constitutional amendment on the November 2010 ballot to prohibit Missouri lawmakers from passing the tax initiative, the group needs more than 157,000 valid signatures. To make voters more aware of this issue, a new website, www.YesToSaveHomes.com is now online to help consumers learn more about the tax, calculate the tax based on the home’s sale price, and get involved.

Here’s the simple and straightforward proposal: “Shall the Missouri Constitution be amended to prevent the state, counties and other political subdivisions from imposing any new tax, including a sales tax, on the sale or transfer of homes or any other real estate?”

As an example, here’s a calculation on a St. Charles County home sale. The home sold for $150,000 and at the St. Charles County taxation rate of 7.0750%, the amount would be an additional $10,612.50.* Jane Mendenhall, president-elect of the Missouri Association of Realtors, believes the transfer tax places undue stress on low-income Missourians who typically spend a larger percentage of income on their home.

Add the mix of Missourians who have lost their jobs, had pay cuts and have been forced to sell their homes or experienced a drop in property values, and the transfer tax just isn’t good for the recovering Missouri economy.

Legislators are looking around to fine new sources of revenue. The transfer tax is one of those sources politicians are eyeing. With the help of voters and homebuyers, the transfer tax will not be an additional burden on Missouri residents.

* This number is based on area percentages.

Written by Myra Vandersall

No comments: