COLUMBIA – Amendment 3 would change the state constitution to prohibit real estate transfer taxes.
Transfer taxes are essentially sales taxes that are levied every time ownership of property is transferred, whether by sale or inheritance.
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?
It is estimated this proposal will have no costs or savings to state or local governmental entities.
The Missouri Association of Realtors sponsored the amendment. Although there is no real estate transfer tax in the state, the group argues that any future transfer tax would result in double taxation because the state already collects property taxes.
The Columbia Board of Realtors also supports the amendment.
Missouri is one of 13 states that do not impose transfer taxes. All states surrounding Missouri, though, do have some sort of tax on real estate transactions.