Does Missouri’s Amendment 5 impose taxes on data centers?

While Amendment 5 would let the Missouri legislature expand sales taxes that data centers may have to pay, it does not impose direct taxes on “big tech.”

Amendment 5 proposes phasing out Missouri’s income tax and removing constitutional restrictions on raising sales taxes. This would allow the state legislature to expand taxes on goods and services, but only to offset lost revenue from eliminating the income tax.

If approved by voters on the August 4, 2026, ballot, the state legislature could add sales taxes to goods and services that are currently exempt, including digital or streaming subscriptions, home repairs, doctor visits, and child summer camp fees. Missouri currently exempts data centers from sales and use taxes in an incentive program to bring them to the state.

The amendment does not single out any products for taxation and special interests are already lobbying to exempt their industries’ goods and services.