Soon, in Missouri, if you sell things like stocks or houses and make money, you might not pay tax on that money.

A new law stops a tax this year for people. If the state gets more money, the tax may also stop for companies. Now, the law goes to the governor. He likes it.

Some people think stopping a tax will help the economy. Other people think it will help rich people and mean less money for schools and help for people. To get enough votes, they added more tax help for old people and people who are sick or cannot move well. They also said no tax on diapers and things for women.

Other states are changing their tax rules too.

What is the tax when you sell something for more money?

When you sell something like a house or shares and get more money, that extra money is called capital gains. The government takes some of this money.

Many states take money from income and from selling things for more money. Missouri takes money from selling things the same as money from work. Some states take less money from selling things.

But some states are doing the opposite.

Why is it good to not pay tax when you sell something for more money?

Some people say this tax is not good. They say it stops people from investing money.

When you tax things, people do less of them.

ALEC wanted to stop a tax. Last year, a friend told Chad Perkins about this tax. His friend's company had to pay this tax. Chad Perkins made a plan to stop the tax. This plan can also help farmers who sell their land.

A politician said this tax makes it hard for Missouri to do business.

Who will get money from the tax change?

Others say rich people will get the most.

A man said taking away the tax in Missouri is not good for the country or for people who don't have much money.

A study found that more white families make money from selling things like stocks than Black and Hispanic families.

In Missouri, many people paid taxes on money they made from selling things in 2022. Most of the tax help would go to rich people.

How much money do we lose if we stop the tax on selling things for more money?

Stopping a tax in Missouri could cost the state $262 million each year. Some people agree, and some people do not agree.

Experts think it will cost about 600 million dollars each year.

Trent thinks if the tax stops, the economy will get bigger. This will bring more tax money later.

Owen Zidar looked at how changing taxes on selling things changed how much money the government got. He said that when taxes on selling things go down, people sell more, but the government still gets less money.

Zidar thinks stopping the tax in Missouri will not bring much money or jobs.

He thinks sales will go down a lot.