Missouri has progressive income tax rates from 0% to 4.8% — relatively low compared to many states, with generous retirement exemptions. For retirees especially, Missouri is one of the more tax-friendly states in the Midwest.
Here’s the key insight: Missouri technically has 8 tax brackets, but the top rate kicks in at just $8,968. That means virtually everyone earning a normal income pays effectively the same 4.8% rate. The multiple brackets only save you a few hundred dollars annually — making Missouri function more like a flat-tax state in practice.
For border residents, this matters: You’ll pay less than Illinois (4.95% flat) or Kansas (5.7% top rate), but more than Kentucky (4% flat) and obviously Tennessee (no income tax). Choose your residence carefully.
See how Missouri compares to all states: State Income Tax Rates
Missouri Income Tax Rates for 2026
Missouri’s tax brackets are narrow — almost everyone over $8,968 pays the top rate:
| Taxable Income | Tax Rate |
|---|---|
| $0 - $1,207 | 0.0% |
| $1,207 - $2,414 | 2.0% |
| $2,414 - $3,621 | 2.5% |
| $3,621 - $4,828 | 3.0% |
| $4,828 - $6,035 | 3.5% |
| $6,035 - $7,242 | 4.0% |
| $7,242 - $8,968 | 4.5% |
| Over $8,968 | 4.8% |
Effectively, Missouri has close to a flat 4.8% rate for most taxpayers.
Why the narrow brackets matter: Unlike Minnesota where high earners face 9.85%, Missouri caps out at 4.8% on income above $8,968. A worker earning $50,000 and a CEO earning $500,000 both pay the same marginal rate. This benefits higher earners significantly.
Missouri Tax Calculator Examples
Example 1: $75,000 Single Filer
| Component | Calculation |
|---|---|
| Taxable income | $75,000 |
| Tax on first $8,968 | ~$300 |
| Tax on remaining ($75,000 - $8,968) × 4.8% | $3,170 |
| Total MO state tax | ~$3,470 |
| Effective rate | 4.63% |
The effective rate quickly converges toward 4.8% as income rises. For perspective on national income levels, see our income percentile calculator.
Example 2: $150,000 Married Filing Jointly
| Component | Calculation |
|---|---|
| Taxable income | $150,000 |
| Tax on first $8,968 | ~$300 |
| Tax on remaining ($150,000 - $8,968) × 4.8% | $6,770 |
| Total MO state tax | ~$7,070 |
| Effective rate | 4.71% |
Even at high incomes, the effective rate barely moves — demonstrating Missouri’s nearly flat tax structure.
Missouri Standard Deduction (2026)
| Filing Status | Standard Deduction |
|---|---|
| Single | $14,600 |
| Married Filing Jointly | $29,200 |
| Married Filing Separately | $14,600 |
| Head of Household | $21,900 |
Missouri’s standard deduction now matches federal amounts.
Most Missourians should take the standard deduction. With the $10,000 federal SALT cap limiting itemized deductions, itemizing only makes sense for those with very high mortgage interest, charitable donations, or medical expenses.
Missouri Retirement Income Exemptions
Missouri offers generous retirement income exemptions — making it attractive for retirees. This is especially valuable compared to states like Minnesota that tax most retirement income.
For overall retirement planning, see our guides to 401(k) contribution limits and Social Security benefits.
Public Pension Exemption
| Filing Status | Maximum Exemption |
|---|---|
| Single | $34,341 |
| Married Filing Jointly | $38,156 |
Applies to: Missouri state pensions, federal pensions, military retirement
Military retirees take note: Missouri’s exemption covers military retirement pay fully up to the $34K/$38K limits. Combined with Kansas City’s low cost of living, Missouri is increasingly popular for military retirees. See our military retirement guide for more planning tips.
Private Pension/IRA Exemption
| Age | Exemption Amount |
|---|---|
| Under 62 | $0 |
| 62 or older | Up to $6,000 |
Social Security
Fully exempt for most taxpayers (only taxed if AGI exceeds $85,000 single / $100,000 married)
This is a major benefit. Many states tax Social Security benefits, but Missouri exempts them for the vast majority of retirees. Only those with high income from other sources (investments, continued employment) will see any Social Security taxation.
What Income is Taxed in Missouri?
Taxed:
- Wages and salaries
- Self-employment income
- Interest and dividends
- Capital gains (taxed as ordinary income)
- Retirement income (above exemptions)
- Rental income
Not taxed or exempt:
- Social Security — Mostly exempt
- Public pension income (up to $34-38K)
- Private pension (up to $6K if 62+)
- Missouri municipal bond interest
- Railroad retirement benefits
Missouri vs. Neighboring States
| State | Top Income Tax Rate |
|---|---|
| Iowa | 5.7% |
| Illinois | 4.95% (flat) |
| Arkansas | 4.4% |
| Missouri | 4.8% |
| Kansas | 5.7% |
| Oklahoma | 4.75% |
| Tennessee | 0% (no income tax) |
| Kentucky | 4.0% (flat) |
Local Income Taxes
Missouri cities can levy local income taxes:
| City | Local Income Tax |
|---|---|
| Kansas City | 1.0% |
| St. Louis City | 1.0% |
| Other cities | Generally none |
If you work in KC or STL, add 1% to your effective rate.
Border strategy for KC workers: Many Kansas City metro workers live in nearby suburbs like Lee’s Summit, Independence, or across the border in Kansas specifically to avoid the 1% earnings tax. At $100,000 income, that’s $1,000/year in savings just for living outside city limits. Note that some Kansas suburbs have their own local taxes — research specific locations.
Filing Missouri State Taxes
| Filing Requirement | Details |
|---|---|
| Form | MO-1040 |
| Due date | April 15 (with federal) |
| E-file | Yes, through MO DOR |
| Extension | Automatic 6-month if federal filed |
Missouri Sales Tax
- State rate: 4.225%
- Local option: Up to ~5.6% additional
- Total possible: ~10%+
- Groceries partially taxed (1.225% state + local)
Missouri’s combined sales tax rates are among the highest in the nation. While your income tax is moderate, sales taxes can exceed 10% in some jurisdictions. Budget accordingly, especially for large purchases. See sales tax calculator for precise calculations.
Tips to Reduce Missouri Taxes
- Claim retirement exemptions — Pension, Social Security deductions if you qualify
- Max retirement contributions — 401(k), IRA reduce taxable income at 4.8%
- KC/STL residents — Consider suburbs to avoid 1% local tax (saves $600+ annually at median income)
- HSA contributions — Triple tax advantage
- Itemize if beneficial — SALT, mortgage interest (though standard deduction is usually better)
- Capital loss harvesting — Offset gains taxed at 4.8%
Missouri Tax Authority
Missouri Department of Revenue
- Website: dor.mo.gov
- Phone: 573-751-3505
- For refunds, returns, and questions
Bottom Line
Missouri has progressive income tax rates from 0% to 4.8%, but the top rate kicks in at just $8,968 — making it effectively a near-flat tax. The state offers generous retirement exemptions including Social Security (mostly exempt), public pensions (up to $38K exempt), and private pensions ($6K if 62+). Kansas City and St. Louis residents pay an additional 1% local income tax.
Best for: Retirees (generous exemptions), high earners (low flat rate), and anyone who values moderate taxation with access to major metros.
Watch out for: High sales taxes (10%+), local income taxes in KC and St. Louis, and property taxes that vary significantly by county.
Related: State Income Tax Rates | Income Percentile Calculator | 401(k) Contribution Limits | Minnesota Income Tax Guide | Michigan Income Tax Guide | Cost of Living by State
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