94.857. Sales tax to be deposited in special municipal sales tax trust fund--not to be a state fund--distribution formula--refunds, procedure, director of revenue, duties--abolishing of tax, procedure

MISSOURI STATUTES AND CODES

94.857. Sales tax to be deposited in special municipal sales tax trust fund--not to be a state fund--distribution formula--refunds, procedure, director of revenue, duties--abolishing of tax, procedure

Sales tax to be deposited in special municipal sales tax trustfund--not to be a state fund--distribution formula--refunds,procedure, director of revenue, duties--abolishing of tax,procedure.

94.857. 1. All sales taxes collected by the director ofrevenue under sections 94.850 to 94.857, less one percent forcost of collection which shall be deposited in the state'sgeneral revenue fund after payment of premiums for surety bondsas provided in section 32.087, RSMo, shall be deposited in aspecial trust fund, which is hereby created, to be known as the"Special Municipal Sales Tax Trust Fund". The moneys in thespecial municipal sales tax trust fund shall not be deemed to bestate funds and shall not be commingled with any funds of thestate. The director of revenue shall keep accurate records ofthe amount of money in the trust fund which was collected in eachmunicipality imposing the sales tax established in sections94.850 to 94.857, and the records shall be open to the inspectionof officers of the municipality and the public.

2. The special municipal sales tax trust fund shall bedistributed in conjunction with the county sales tax levied undersections 66.600 to 66.630, RSMo, and may be combined by thedirector of revenue in a single payment. The director of revenueshall distribute to the municipality levying the tax a portion ofthe taxes based on the location in which the sales were deemedconsummated under subsection 12 of section 32.087, RSMo, inaccordance with the formula described in this subsection. Exceptfor distributions relating to recently annexed areas described insubsection 4 of this section, after deducting the distribution tothe municipality, the director of revenue shall distribute theremaining funds in the special municipal sales tax fund to thecities, towns and villages and the county in group B as definedin section 66.620, RSMo, as follows: To the county, ten percentmultiplied by the percentage of the population of unincorporatedcounty which has been annexed or incorporated since April 1,1993, multiplied by the total sales tax revenues, and apercentage of the remaining distributable revenue equal to thepercentage ratio that the population of the unincorporated areasof the county bears to the total population of group B; and toeach city, town or village in group B located wholly within thetaxing county, a percentage of the remaining distributablerevenue equal to the percentage ratio that the population of suchcity, town or village bears to the total population of group B;and to each city, town or village located partly within thetaxing county, a percentage of the remaining distributablerevenue equal to the percentage ratio that the population of thatpart of the city, town or village located within the taxingcounty bears to the total population of group B.

3. For purposes of administering the distribution formulaof subsection 2 of this section, the revenues arising each yearfrom sales occurring within the municipality shall be shared asfollows: The municipality shall receive that portion of therevenues arising from sales occurring within the municipalitythat remains after deducting therefrom an amount equal to thecumulative sales tax revenues arising from sales within themunicipality multiplied by the sum of ten percent multiplied bythe percentage of the population of unincorporated county whichhas been annexed or incorporated after April 1, 1993, and thegreater of 12.5 percent or the percentage equal to the product of11.627 multiplied by the logarithm (to base 10) of the product of0.15 multiplied by the total of the cumulative per capita salestaxes arising from sales within the municipality pursuant tosections 94.850 to 94.857 less one-eighth, in the case of aone-eighth of one percent sales tax, or one quarter, in the caseof a one-fourth of one percent sales tax, of the per capitacountywide average of all sales tax distributions during theprior calendar year under section 66.620, RSMo, which average isreduced by the percentage which is equal to ten percentmultiplied by the percentage of the population of unincorporatedcounty which has been annexed or incorporated after April 1,1993.

4. Sales taxes arising from sales within recently annexedareas pursuant to sections 94.850 to 94.857 shall be divided halfto the municipality and half to the county until the fifthanniversary of the effective date of the annexation, and shallthereafter be distributed as provided in subsections 2 and 3 ofthis section. A "recently annexed area" is any area which wasannexed or incorporated from or in the unincorporated area of thecounty less than five years prior to the effective date of thesales tax under sections 94.850 to 94.857.

5. Not later than the tenth day of each month, the directorof revenue shall distribute all moneys deposited in the specialmunicipal sales tax trust fund during the preceding month asprovided in this section.

6. The director of revenue may authorize the statetreasurer to make refunds from the amounts in the trust fund andcredited to any municipality for erroneous payments andoverpayments made, and may redeem dishonored checks and draftsdeposited to the credit of such municipalities. If any city,town or village abolishes the tax, the municipality shall notifythe director of revenue of the action at least ninety days priorto the effective date of the repeal and the director of revenuemay order retention in the trust fund, for a period of one year,of two percent of the amount collected after receipt of suchnotice to cover possible refunds or overpayment of the tax and toredeem dishonored checks and drafts deposited to the credit ofsuch accounts. After one year has elapsed after the effectivedate of abolition of the tax in such municipality, the directorof revenue shall remit the balance in the account to themunicipality and close the account. The director of revenueshall notify each county of each instance of any amount refundedor any check redeemed from receipts due the municipality.