Viewpoint: The sales tax holiday is absolutely good for Missouri

The question here is simple: Is the money you earn your money or is it the government's money? I answer the question with a resounding -- It is your money! Why is it always the case that when policy is made that reduces the enormous tax burden, we hear that the government screams "you are costing me money?"

The government is now saying that the sales tax holiday -- which took place earlier this month -- is costing it money. To make back-to-school shopping more affordable for Missouri families and to attract out-of-state buyers to Missouri, the state legislature approved a permanent three-day sales tax exemption for clothing, computers, and school supplies. House Bill 64, legislation that I carried in the Senate, allows Missouri parents, teachers, students and all other shoppers a tax break on purchases of clothing priced less than $100 per item, computers priced at $3,500 or less, software valued at $350 or less and other back-to-school supplies up to $50.

Although the state waived its sales tax of 4.225 percent completely during the first weekend in August, each county and city decides whether or not to waive their local taxes during the sales-tax holiday. To this point the city of Cape Girardeau and county of Cape Girardeau have chosen not to opt out of the sales tax holiday. That's a decision I applaud because the sales-tax holiday gives Missouri families and teachers a much needed tax break at a critical time of the year while providing a shot in the arm for Missouri businesses. For example, a common purchase for college students is a new computer; students purchasing a $3,500 laptop computer during the holiday can save as much as $315.

Moreover, a study released by the Missouri Chamber of Commerce and Industry Education Foundation found that the 2004 holiday did no harm to state or local government tax revenue levels. The study is based upon quarterly Missouri sales tax data provided by the Missouri Department of Revenue. Specifically, the study showed that during the third quarter 2004, Missouri's sales tax levels maintained consistent growth compared to sales tax levels of the previous four year trend. The study further showed that city governments experienced an increase in sales tax revenues in third quarter 2004. Cities that fully participated in the holiday experienced a greater increase in sales tax then cities that opted out. Cities that fully participated saw a 3.1 percent increase over 2003. Cities that opted out of the holiday experienced a 2.2 percent increase in 2004 over the previous year. Only 179 of more than 1000 cities in the state of Missouri opted out of the 2004 holiday.

However, even if the study is argued as flawed by those who say figures lie and liars figure, the question is still the same: Is the money you earn your money or is it the government's money?

In closing I have this suggestion to those who still believe your money is the government's money: Boycott the sales tax holiday. Do not buy anything during the sales tax holiday or send the savings you realize from purchases to the government. Trust me government will spend it.

Do not take the savings from those of us who believe that the money we earn is our money not the government's money.

State Sen. Jason Crowell represents Cape Girardeau, Bollinger, Mississippi, Perry and Scott counties in the Missouri Senate.