Missouri voters reject income tax phaseout plan by wide margin


Missouri voters rejected Amendment 5 on Tuesday with overwhelming force, declining to grant lawmakers the power to eliminate the state income tax and replace it with expanded sales and use taxes. The measure lost 83 percent to 16 percent, according to the Missouri Independent, marking a decisive rebuff to one of Gov. Mike Kehoe’s top legislative priorities.

Amendment 5 would have required the state legislature to gradually phase out Missouri’s individual income tax based on revenue growth, then allowed lawmakers a five-year window to expand the sales tax base to make up the lost revenue. The proposal gave lawmakers broad authority to determine which goods and services would be newly taxed, with no set exemptions written into the amendment itself.

The rejection was particularly striking because proponents of the measure outspent opponents by more than two-to-one, according to campaign finance tracking by the Missouri Independent. Yet despite the spending advantage, the measure failed in all eight of Missouri’s congressional districts.

A polling place entrance with campaign signage and voters arriving, morning light, civic building exterior

The nonpartisan Missouri Budget Project estimated that eliminating the income tax would jeopardize approximately $8.5 billion in annual state revenue—more than half of the state’s general revenue. To compensate, sales taxes would need to expand significantly. The Budget Project found that 80 percent of Missourians would have seen a net tax increase, with the average resident paying over $500 more in taxes annually.

Opponents of the measure, led by the Missouri Association of Realtors and coalitions of education and progressive groups, argued the proposal amounted to a regressive tax shift that would burden lower-income residents. Mark Jones, director of public affairs for the Missouri National Education Association, told the Missouri Independent that voters rejected the idea of paying for tax breaks for high earners while losing their ability to correct course through future ballot measures.

The Realtors’ opposition was particularly influential. The organization, which has successfully used the initiative petition process to amend the state constitution twice in the past decade, contributed $2.8 million to the campaign against Amendment 5. The Realtors’ political action committee, Missourians for Fair Taxation, warned that the measure threatened the state’s tax base and public services.

A state capitol building interior showing empty legislative chambers or corridors, institutional lighting, no people

Gov. Kehoe, who made income tax elimination central to his policy agenda, said the defeat would not end his pursuit of tax reform. On social media, he stated: “While Amendment 5 did not earn the support it needed, I believe our work is far from over.” He pledged to continue seeking ways to reduce the tax burden on Missouri families.

The vote also sent a broader message about voter sentiment on tax restructuring. Voters across the country have consistently rejected ballot measures that would shift tax burdens from one category to another, particularly when the shift increases taxes on middle and lower-income households. The Missouri result reflects that pattern, as residents voiced concern that the state’s already-regressive tax system would become more so under the proposed changes.

The failure of Amendment 5 means Missouri lawmakers remain unable to expand sales and use taxes without separate voter approval. Lawmakers can still reduce the income tax through legislation, as they did in 2025 when the legislature eliminated Missouri’s individual capital-gains tax, which reduced state revenue by approximately $510 million in fiscal year 2026. But eliminating the income tax entirely would require either a future constitutional amendment or a new approach that voters find more acceptable.

Sources

  • Missouri Independent — vote totals (83-16), spending figures, coalition details, and voter commentary
  • St. Louis Public Radio — Amendment 5 details, Missouri Budget Project analysis (80% tax increase, $500 average increase), state revenue figures, and Gov. Kehoe’s response
  • Ballotpedia — confirmation of Amendment 5 defeat and constitutional details
  • Fox 2 Now — vote margin confirmation (82.4% no vote)

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