The problem A miscoding by the Missouri Department of Revenue (DOR) on part of the sales tax for Mid Mo Ambulance District has given its revenue from new car sales, approximately $100,000 per year, to Morgan County.


 


The problem

The problem A miscoding by the Missouri Department of Revenue (DOR) on part of the sales tax for Mid Mo Ambulance District has given its revenue from new car sales, approximately $100,000 per year, to Morgan County.

The details

Voters passed a sales tax in August 2006 for Mid Mo Ambulance District that went into effect in January 2007. Mid Mo was supposed to receive revenues from a 1/2 cent sales tax. Morgan County was to get a 1/2 cent sales tax for general revenue and another 1/2 cent sales tax was for Morgan County law enforcement. A miscoding by the DOR gave the just new car sales tax revenues to Morgan County general fund and law enforcement. The general fund was getting a 3/4 cent sales tax on new car sales as was law enforcement. The mistake was just discovered and reported to Mid Mo and the county about a month ago, according to Morgan County Clerk Cathy Daniels. After five years, the total in misplaced funds is $536,914.

What's next?

Mid Mo officials have been very understanding about the issue, says Daniels. They have given leeway to the county on how the monies will be paid back. Just beginning the budgeting cycle for 2012, county commissioners have not yet made a decision whether they will make a lump sum payment or work out an installment plan, and if so what the schedule would be. Since the mistake has been corrected, Morgan County will also lose a 1/4 cent sales tax for both the general fund and law enforcement, amounting to about $100,000 a year in revenue.