Bill > HB2595

This bill allows cities of the third classification operating under a city manager form of government to impose a transient guest tax (a tax on short-term lodging) of up to 5% on hotel rooms and short-term rentals, but only after receiving voter approval through a local election. The tax would apply to guests staying 31 days or less and must be specifically designated as a tourism tax, with all proceeds dedicated to promoting tourism through marketing, events, and tourism facility development. The city can choose to collect the tax internally or contract with the state's director of revenue for collection, with potential penalties for delinquent payments. The tax must be clearly stated separately from other charges and is in addition to existing taxes. The ballot language will clearly specify the tax rate and purpose, and the tax can only take effect if approved by a majority of voters. The bill also provides a mechanism for voters to potentially repeal the tax in the future through a similar election process, with the repeal becoming effective at the end of the calendar year if approved.

https://house.mo.gov/Bill.aspx?bill=HB2595&year=2026&code=R