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Under a package of legislation sponsored by Rep. Bishop Davidson, R-Republic, Missouri’s current 4.7% tax rate for most taxpayers would drop to a flat rate of 4% next year and begin a phased-in elimination of the tax, potentially costing state coffers more than $8.4 billion annually.

The move would be paired with a constitutional amendment asking voters to allow taxes to be levied on services like haircuts, lawncare and real estate services to help replace the loss of income tax revenue — a move that could trigger significant pushback from the business community.

“The main goal is to eliminate income taxes,� Davidson told members of the House Special Committee on Tax Reform.

While Democrats are concerned about the effect of reducing state revenue on current programs, supporters say eliminating the income tax will increase population and economic growth, thus offsetting the initial loss.

“The biggest criticism that we received is that this goes quite slow,� Davidson said. “This piece of legislation makes me feel tremendously cautious.�

Sam Licklider of Missouri Realtors told the panel that the powerful lobbying group is opposed to the provision because of the imposition of a tax on services.

“This is not a tax reduction. This is a tax switch. Good luck on that,� Licklider said. “It is going to injure lower income people because they spend most of their money on things.�

The measure is among a handful being pushed by Republicans who have embraced Gov. Mike Kehoe’s call for the elimination of the tax.

During his State of the State speech in January, the Republican chief executive outlined his campaign promise to phase out the tax based on a series of revenue and population triggers to ensure the state isn’t forced to make major cuts to programs as the money flow begins to dry.

“While we task our best and brightest with developing a responsible plan to eliminate the income tax, the Legislature must continue with success we’ve seen from cutting taxes so far,� said Kehoe, who also wants to eliminate the state portion of the capital gains tax, which could remove more than $330 million in revenue from the equation.

Davidson said talk of tax cuts have energized Republicans who control both the House and Senate.

“We have been inspired by all of this,� Davidson said.

The push comes as Republicans already have been chipping away at the income tax.

In 2014, the GOP-led House and Senate enacted a tax cut to move the top income tax rate from 6% to where it stands now at 4.7%. If general revenue growth meets certain targets, the rate will eventually drop to 4.5%.

Critics say the proposal could wreak havoc on the ability of the state to provide needed services at a time when long waiting times are common for people seeking certain state programs.

“Whether it happens over time or all at once, eliminating the state income tax wipes out more than 60% of the state general revenue budget and will require massive cuts to the services our communities need to thrive, harming Missourians across the state,� said Amy Blouin, president of the Missouri Budget Project, which tracks state financial matters.

Blouin said the current tax structure allows Missouri to build roads, fund schools and higher education and ensure safe and stable communities.

“We can’t cut our way to prosperity. But when we work together with other Missourians, we can build a stronger state,� Blouin said in a statement.

The measure was not voted on Tuesday.

The legislation is and