Missouri tax guide
Missouri employs a progressive income tax system that is designed to scale with taxpayer earnings across seven distinct brackets. By allowing the deduction of federal income taxes, the state provides a unique relief mechanism that is not found in many other progressive tax states. This structure influences how residents calculate their net pay, especially when factoring in local levies in major urban centers.
Key tax highlights
Payroll
- Missouri features seven distinct tax brackets to ensure income is taxed at graduated rates.
- The top marginal income tax rate for the state is currently set at 4.70%.
- Employers are required to withhold Missouri state income tax from paychecks based on state-specific withholding certificates.
Local taxes
- Both Kansas City and St. Louis levy a local earnings tax of 1% on wages earned by residents and non-residents working within city limits.
- These local taxes are typically withheld automatically by employers in these municipalities.
Deductions
- Missouri uniquely allows taxpayers to deduct a portion of their federal income tax liability when calculating their state taxable income.
- Standard deductions and exemptions in Missouri often mirror federal standards, though specific adjustments may apply.
Salary examples
Pre-computed take-home estimates at common salary levels. For example, a $75,000 salary in Missouri yields about $58,248 after all deductions (77.7% take-home rate). Use the calculator above with your actual salary to see your specific estimate.
| Salary | Federal | State | FICA | Take-Home | Rate |
|---|---|---|---|---|---|
| $50,000 | $3,820 | $2,169 | $3,825 | $40,186 | 80.4% |
| $75,000 | $7,670 | $3,344 | $5,738 | $58,248 | 77.7% |
| $100,000 | $13,170 | $4,519 | $7,650 | $74,661 | 74.7% |
| $150,000 | $24,734 | $6,869 | $11,475 | $106,922 | 71.3% |
Neighboring states
How Missouri compares with border states on income tax. At a $75,000 salary, a Missouri worker pays $3,344 in state tax annually.
Cities with local taxes
These Missouri city pages factor local taxes into the take-home estimate. A city like Kansas City adds an extra local deduction on top of statewide withholding.
| City | Local rate |
|---|---|
| Kansas City | 1% |
| St. Louis | 1% |
Tax tips for Missouri
- Review your paystub to ensure your employer is withholding the correct amount for the Kansas City or St. Louis earnings tax if you work in those cities.
- Check your W-4 and Missouri Form MO W-4 to ensure your federal and state withholding aligns with your expected annual income.
- Take advantage of the federal tax deduction allowed on your Missouri return to lower your state taxable income.
- Track your income changes throughout the year, as moving into a higher of the seven brackets will increase your effective state tax rate.
Did you know?
- •Missouri is one of the few states that allows taxpayers to deduct a portion of their federal income tax from their state taxable income.
- •The 1% earnings tax in Kansas City and St. Louis applies to both residents and individuals who simply commute into the city for work.
Filing guidance
When filing your Missouri state return, you will use Form MO-1040. Ensure you have your federal return completed first, as the federal adjusted gross income often serves as the starting point for your Missouri calculations. Be diligent in applying the federal income tax deduction, as this is a key component in accurately reporting your state liability and potentially increasing your refund or decreasing the amount owed.
Relocation context
Comparing Missouri with nearby states can reveal whether paycheck differences are driven by state tax, local tax, or payroll deductions.