On April 5, 2022, City of Saint Charles voters will be asked to consider Proposition S, which would enact a use tax in the City of Saint Charles. A use tax (Prop S) will restore the tax collecting ability to out of state vendors, and levels the playing field for our local businesses that already collect sales tax.
A use tax (Prop S) will help the City continue to provide high-level services to our residents. If a use tax (Prop S) does not pass, current or future City leaders may need to look at alternative ways to replace lost revenue or adjust City services.
On June 30, 2021, Missouri Governor Mike Parson signed into law the Wayfair bill (Senate Bill 153), which allows municipalities to collect a use tax from online retailers that sell and deliver more than $100,000 in tangible goods to Missouri. Missouri was the 49th state in the United States to close this sales tax loophole. However, to enact the use tax in the City of St. Charles, voters must approve a use tax (Prop S). Many cities already have a use tax in our area – O’Fallon, Wentzville, Lake St. Louis, and St. Charles County. The majority of Missouri cities that do not currently have a use tax are putting this issue on the ballot in April, 2022.