Amendment 7 asks voters to create the Show-Me Prosperity Fund, a permanent state investment account whose earnings would someday pay for state government so that Missouri could stop collecting state taxes.
The state treasurer would invest the fund in exchange-traded funds that track the S&P 500. No money could be spent from it until the treasurer certifies that its investment earnings are large enough to replace every state-imposed tax. At that point, the earnings would be used to eliminate those taxes, and the legislature could not reimpose them. Spending would be capped each year at 3% of the fund’s average market value over the previous five years, and the principal could never be spent, pledged, or borrowed against. After all state taxes were gone, leftover earnings could replace federal money the state receives, pay dividends to residents, or both.
If the fund failed, through insolvency, a revenue shortfall, or some other breakdown, the legislature would keep full power to raise taxes again.
The amendment does not say how money gets into the fund. The legislature would decide how much to put in, and how fast, through later appropriations. It does not change any tax now.
The scale is large. Missouri collects more than $18 billion a year in state taxes, according to the Missouri Budget Project, a nonprofit that analyzes state budgets. Because of the 3% spending cap, the fund would need roughly $600 billion before it could replace that revenue, and more depending on how lawmakers define state-imposed taxes. The Budget Project says that would take decades or generations.
The legislature passed Senate Joint Resolution 95 on the last day of the 2026 session; the House vote was 95 to 48, largely along party lines. It follows Amendment 5, the August proposal to phase out the income tax and broaden the sales tax, which Macon County voters rejected 81% to 19% and which failed statewide.
Supporters say Amendment 7 offers a path to ending state taxes without cutting services, and that walling the money off from appropriation keeps future legislatures from raiding it.
Opponents say the fund has no funding source and no timeline, that it could tie up money needed for schools, roads, and health care for generations, and that relying on stock market returns for core state services is a risk. Some note that no one now voting is likely to see a tax eliminated.
ON THE BALLOT
Official ballot title:
Shall the Missouri Constitution be amended to establish a permanent public endowment fund to support state government instead of taxing Missouri residents, prohibit the General Assembly from appropriating or diverting the fund, and eliminate state-imposed taxes once the fund generates sufficient revenue to replace them?
A YES VOTE creates the Show-Me Prosperity Fund; bars spending from it until earnings can replace all state taxes; then eliminates those taxes; caps yearly spending at 3% of the fund’s five-year average value; and lets the legislature restore taxes if the fund fails.
A NO VOTE creates no fund and leaves state taxes as they are.
COST: State and local governments estimate no costs or savings. No immediate effect on taxes; could eliminate state taxes if the fund’s earnings ever become large enough.
HOW IT GOT HERE: Senate Joint Resolution 95, passed on the final day of the 2026 session.