Clayton's Proposition 1
On November 6, Clayton residents will vote on Clayton’s proposal to implement the local use tax. Known as Proposition 1 (Prop 1), the local use tax applies to out-of-state purchases over the amount of $2,000 per year. The use tax is already collected by the state on out-of-state purchases and Prop 1 will allow the City to receive revenue from these purchases as well.
The local use tax will not be charged in addition to sales tax. Sales tax is for retail purchases within the state of Missouri while the use tax is for purchases from out-of-state vendors, which are exempt from sales tax.
If passed, the City anticipates receiving approximately $200,000 annually from Prop 1. The revenue will be used to reduce General Fund subsidy to the Capital Fund and free money to pay for Paramedic and Fire Fighter staffing increases.