Missouri
Our ranking: Mixed tax picture
State income tax:1.5% (on taxable income of $1,028 or less) — 5.9% (on more than $9,253 of taxable income)
Average state and local sales taxes: 8.03%
Gas taxes and fees: 17 cents per gallon
Missouri took steps in 2018 to reduce its income tax bite, which has historically been a big one, with most taxpayers hit by its top marginal rate (5.9% for 2018). That rate drops to 5.4% in 2019 and could go as low as 5.1% in future years if the state meets revenue targets. However, at the same time, lawmakers decided to partially phase out Missouri taxpayers’ ability to deduct a portion of their federal tax liability from their state taxes. Income limits now apply.
Missouri’s sales and property taxes are middle of the road; fuel taxes notably low. Kansas City and St. Louis have an earnings tax of 1 percent.
