Webster Groves participates in something called the St. Louis County Sales Tax Pool. The formula that calculates the amount of sales tax that comes to the city is complicated. But, the City receives far more sales tax from the pool than is generated locally.
For instance, if our local businesses generate about $2 million dollars in a year that goes into the County Pool, the City receives nearly one and one half (1 ½) that amount back from the Pool.
It is important to note that some of that locally generated sales tax does not go into the St. Louis County Sales Tax Pool. Parks and Stormwater and Fire Protection Funds are small additional sales taxes approved by only Webster Groves residents and that revenue comes directly to the city.
The vitality of our local businesses is an important aspect of making ours a desirable and thriving community. But, being a small part of a large pool means, from a revenue perspective, the overall economic health of the region is what is most important to Webster Groves. And, the most significant negative impact on our sales tax revenue has come from the increase of online purchases that do not collect sales tax.
View more detailed information on Sales Tax.