City sales tax still in effect this weekend in one Missouri town - KFVS12 News & Weather Cape Girardeau, Carbondale, Poplar Bluff

City sales tax still in effect this weekend in one Missouri town

KENNETT, MO (KAIT) - The City of Kennett will not be participating in the Missouri Back to School Sales Tax Holiday this weekend, but the decision to opt out was not made by the mayor and his administration.

According to the Missouri Department of Revenue, Kennett has been on the opt-out list since 2006, and cities can only be removed by passing an ordinance.

Kennett Mayor Jake Crafton said he was not aware of the opt-out ordinance that took effect one year before he began serving on the city council. Mayor Crafton was a city councilman for four years beginning in 2007 before being elected mayor in 2011.

 

The city council will discuss the ordinance at the next council meeting on Tuesday, August 6.

 

"I could only imagine it was budget concerns. Besides that I wouldn't know," he said. "I can say the city, as far as budget concerns, we wouldn't have that concern as of now."

 

The city sales tax of 2% will still apply to purchases during the three-day holiday beginning at 12:01 a.m. Friday, August 2, through Sunday, August 4. 

The state sales tax of 4.225% will not be levied during the holiday weekend.

 

Mayor Crafton said the city sales tax is important because the city revenue is entirely based on sales tax.

 

"We don't have property taxes like other communities and states would have. We don't have business license fees and building permit fees. So we really live and we could die off this sales tax. We really got to keep that flowing in, but one weekend I don't see that being a huge loss."

Kennett resident Donna Crosskno still plans to shop in Kennett. "This is a small town and I think the money should stay in Kennett," she said.

"If I go somewhere else I have to drive and it's going to cost me gas money, and then when you take your kids it's going to cost restaurant food. It's going to cost me actually more (to go outside Kennett)."

 

Click here for links to the lists of Missouri cities and counties that are not participating in the sales tax holiday weekend. 

Copyright 2013 KAIT. All rights reserved.

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