New MO law could lower taxes for laundromats

Posted at 3:38 PM, Sep 12, 2015
and last updated 2015-09-12 16:38:48-04

Missouri lawmakers could soon consider enacting a tax break for laundries.

Democratic Gov. Jay Nixon vetoed the proposal, but the Legislature could overturn his action Wednesday with a two-thirds majority vote.

The bill would waive sales taxes on detergent and other materials used to clean linens for businesses that handle at least 500 pounds of clothes per hour and 60,000 pounds per week.

It's aimed at helping laundries that clean linens used in hotels, hospitals and the food industry.

Nixon says it's an unfair expansion of existing sales tax breaks for manufacturers.

Commercial laundries say they're unfairly taxed both for materials used to clean clothes and on the sale of their services.

They argue Kansas doesn't tax laundries in such a way, and Missouri could lose businesses to the state.


Follow 41 Action News on Twitter

Like 41 Action News on Facebook