Missouri — Sales & Use Tax

Missouri imposes a state sales tax on sellers for the privilege of selling tangible personal property or rendering taxable services at retail in the state, as well as a complementary use tax. Sellers are required to collect the appropriate tax from customers and remit it to the Department of Revenue.

Breakdown of the state sales tax rate

The combined state sales tax rate is 4.225 percent. This rate is composed of four distinct taxes, each dedicated to specific uses under Missouri statute and constitutional provisions:

• 3.0% General Revenue tax – Allocated to the state’s general revenue fund (RSMo § 144.020).
• 1.0% Education tax – Dedicated to public education funding (RSMo § 144.021).
• 0.125% Conservation tax – Dedicated for conservation purposes pursuant to the Missouri Constitution (Mo. Const. Art. IV, § 43(a)&constit=y)).
• 0.10% Parks, Soils, and Water tax – Dedicated to parks, soils, and water conservation, also by constitutional provision (Mo. Const. Art. IV, § 47(a)&constit=y)).

This distribution is further confirmed by the Missouri Department of Revenue’s official guidance, stating the state portion is distributed as: General Revenue (3.0%), Conservation (0.125%), Education (1.0%), Parks/Soils (0.10%).

Use tax — The state use tax is imposed at the same 4.225 percent rate and applies to tangible personal property purchased outside Missouri for storage, use, or consumption within the state, unless already subject to Missouri sales tax.

Local rates — Cities, counties, and special taxing districts may impose additional local sales and use taxes on top of the state rate.

Source: RSMo § 144.020; RSMo § 144.021; RSMo § 144.610; Mo. Const. Art. IV, § 43(a)&constit=y); Mo. Const. Art. IV, § 47(a)&constit=y); Missouri DOR Sales/Use Overview

Missouri imposes sales and use tax collection obligations on remote sellers whose gross receipts from taxable sales of tangible personal property delivered into Missouri exceed $100,000 in either the previous calendar year or the current calendar year. No transaction count threshold applies. Sellers must determine at the close of each calendar quarter whether they met the $100,000 threshold during the twelve-month period ending on the last day of the preceding quarter. If the threshold is met, the seller must register and begin collecting tax within three months following the close of that quarter. This economic nexus standard took effect January 1, 2023.

Source: RSMo § 144.605(2)(e); Missouri DOR Remote Seller FAQs

Missouri requires marketplace facilitators to collect and remit use tax on all taxable sales made through their marketplace by or on behalf of marketplace sellers, effective January 1, 2023. A marketplace facilitator is defined as a person who facilitates a retail sale by listing or advertising tangible personal property or taxable services and either directly or indirectly collects payment from the purchaser and transmits all or part of the payment to the marketplace seller. The law treats marketplace facilitators as sellers, making them liable for tax collection and remittance on facilitated transactions. Marketplace facilitators must register if their gross receipts from taxable sales delivered into Missouri exceed $100,000 in the previous or current calendar year.

Source: RSMo § 144.752; Missouri DOR Remote Seller FAQs

Missouri taxes only services specifically enumerated in statute. Unlike tangible personal property sales (which are presumptively taxable), services are taxable only if listed in RSMo § 144.020.

The taxable services are: (1) admissions and seating accommodations or fees to places of amusement, entertainment, recreation, games, and athletic events, except amounts paid for instructional classes; (2) sales of electricity, water, and natural or artificial gas to domestic, commercial, or industrial consumers; (3) local and long-distance telecommunications services, including equipment rental or leasing and related services, but excluding internet access; (4) telegraph message transmission services; (5) rooms, meals, and drinks furnished at hotels, motels, taverns, inns, restaurants, eating houses, drugstores, dining cars, tourist cabins, tourist camps, or other places where such items are regularly served to the public; (6) intrastate transportation tickets for railroads, boats, airplanes, and certain buses and trucks; and (7) rental or lease of tangible personal property.

Most professional, personal, and business services—including consulting, legal, accounting, medical, repair, and personal care services—are not subject to Missouri sales tax.

Source: RSMo § 144.020

Missouri exempts from sales and use tax purchases of electrical energy, gas (natural, artificial, or propane), water, coal, energy sources, chemicals, machinery, equipment, and materials that are used or consumed in the manufacturing, processing, compounding, mining, or producing of any product, or in the processing of recovered materials, or in research and development related to manufacturing. This exemption is codified in RSMo § 144.054.2 and is structurally separate from the machinery and equipment exemptions for replacement or new/expanded plants in RSMo § 144.030.2(4) and (5).

"Used or consumed" versus "used directly" — distinct statutory tests

The § 144.054 exemption applies to items "used or consumed" in manufacturing. Missouri regulation 12 CSR 10-111.011 explains that this is a broader test than the "used directly" requirement that applies under § 144.030. The regulation states: "To qualify for this exemption, the item must be used or consumed and does not have the same requirement of direct use that is required in Section 144.030, RSMo." Additionally, under § 144.054, the manufactured product is not required to be ultimately subject to tax, whereas the § 144.030 machinery exemptions require that the product be intended to be sold ultimately for final use or consumption.

Missouri regulation 12 CSR 10-111.010 addresses the § 144.030 "used directly" test for manufacturing machinery. That regulation states: "In order for the machinery and equipment to be exempt from tax it need not be used exclusively or primarily for an exempt purpose. The purchaser must intend at the time of purchase to use and actually make material use of the machinery and equipment in an exempt capacity to qualify. The fact that it may also be used for nonexempt purposes will not prevent the purchase of the item from qualifying for the exemption." The § 144.054 "used or consumed" test does not expressly incorporate this same "material use" language, but the regulatory framework distinguishes the two tests by the presence or absence of the "direct use" requirement.

Partial to full exemption — effective January 1, 2023

Prior to January 1, 2023, purchases qualifying under § 144.054 were exempt from state sales and use tax (the 4.225% combined state rate) and from local use tax, but remained subject to local sales tax. This meant sellers had to collect and report local sales taxes imposed by political subdivisions even when the state tax was exempt. Effective January 1, 2023, the exemptions under § 144.054 became full exemptions from both state and local sales and use taxes. Sellers are no longer required to collect any local sales tax on items qualifying under § 144.054 for purchases made on or after January 1, 2023.

Scope of covered items

The statute exempts electrical energy and gas (natural, artificial, or propane), water, coal, energy sources, chemicals, machinery, equipment, and materials. These items must be "used or consumed" in manufacturing, processing, compounding, mining, or producing any product, or used or consumed in processing recovered materials, or used in research and development related to manufacturing, processing, compounding, mining, or producing any product. Missouri regulation 12 CSR 10-111.011 provides examples: a manufacturing company purchasing equipment to perform research and development on potential future products qualifies; a commercial photo developer's purchases of crop cards (discarded after a single use to hold individual negatives) and tape used to connect negative strips qualify as materials used and consumed in producing a product.

Product requirement and case law

The exemption applies only to the manufacturing, processing, compounding, mining, or producing of a "product." RSMo § 144.030.2(4) and § 144.054 both provide that the term "product" includes telecommunications services and the term "manufacturing" includes the production, or production and transmission, of telecommunications services. However, the exemption does not extend to machinery or equipment used in producing services that do not qualify as products. In IBM Corp. v. Director of Revenue, 491 S.W.3d 535 (Mo. banc 2016), the Missouri Supreme Court held that computer hardware and software used to check customer credit information while completing purchases did not qualify as manufacturing and thus was not exempt under § 144.054. In Charter Communications Entertainment 1, LLC v. Director of Revenue, 667 S.W.3d 84 (Mo. banc 2023), the court held that replacement telecommunications equipment used to transform an input (the caller's voice) into an output with a separate and distinct value from the original was used directly in manufacturing and qualified for the tax exemption under § 144.054.

Documentation

Purchasers claim the § 144.054 exemption by providing sellers with Missouri Form 149 (Sales and Use Tax Exemption Certificate). The form instructs purchasers to check the appropriate box under the "Manufacturing - Section 144.054, RSMo" heading and to complete any additional information as required by the vendor. For purchasers claiming utilities (electrical energy, gas, or water), the form states that the purchaser must record account numbers, meter numbers, or other information as required by the vendor, and that "all purchasers who are claiming an exemption for energy use must provide the amount of energy use which is related to manufacturing in the space provided and also select the method by which this percentage was obtained."

Source: RSMo § 144.054; 12 CSR 10-111.011; 12 CSR 10-111.010; Missouri DOR Form 149

Missouri sellers accepting a properly completed exemption certificate in good faith are relieved of sales and use tax liability for that transaction. RSMo § 32.200 provides that when a vendor receives and accepts in good faith a resale or other exemption certificate authorized by the state or subdivision taxing authority, the vendor is relieved of liability for sales or use tax. The purchaser remains liable if the certificate proves invalid.

Good faith acceptance standard Missouri regulation 12 CSR 10-107.100 defines good faith as honesty of intention and freedom from circumstances that should raise doubt in the seller’s mind. Sellers must exercise care that the property and claim match. Missouri courts have held sellers do not act in good faith by retroactively securing certificates (Director of Revenue v. Armco, Inc.), or failing to provide certificates during audit. Unsigned certificates are invalid. While not required to receive the certificate contemporaneously, lateness or lack of date can affect a good faith determination. Both seller and purchaser may be liable if the certificate is not accepted in good faith.

Forms and out-of-state resale certificates Missouri's standard exemption certificate is Form 149. It covers resale exemptions, manufacturing exemptions under RSMo § 144.030 and § 144.054, and other statutory exemptions. The form requires detailed purchaser and seller information, the nature of the goods/services, and a signed declaration. Traditionally, for tangible personal property resale, Missouri accepted Missouri or out-of-state certificates if the seller reasonably believed the property was for resale. For taxable services, Missouri registration is required for resale exemption claims: sellers should only accept certificates from Missouri-registered purchasers for taxable services (RSMo § 144.018).

Material Change — June 2026 Letter Ruling A Missouri Department of Revenue letter ruling (June 1, 2026) clarifies that Missouri sellers may accept out-of-state resale certificates in good faith for sales in Missouri, provided the certificate is properly completed, title passes in Missouri, and the seller reasonably believes the purchase is for resale. This officially confirms that out-of-state resale certificates (from buyers not registered in Missouri) are acceptable documentation for Missouri sales, as long as the claim is otherwise valid. This position aligns with Streamlined Sales and Use Tax Agreement guidance and resolves prior ambiguity in DOR practice.

Certificate validity period and renewal Missouri exemption certificates do not have a statutory expiration. Regulations and DOR guidance recommend sellers update certificates every five years, or sooner if the purchaser’s information or license status changes. The certificate loses validity if the purchaser’s license is revoked or inactive.

Blanket certificates and burden of proof A valid blanket certificate may cover all future exempt transactions with a seller. The seller’s burden of proof is met by maintaining a valid certificate; the burden shifts to DOR if properly documented. Sellers may still prove exemption by other admissible evidence when no certificate is obtained, but the risk is higher.

Resale of taxable services — Missouri registration still required A resale certificate for taxable services cannot be accepted in good faith unless the purchaser is Missouri-registered. For tangible personal property, out-of-state certificates are now explicitly valid under the 2026 DOR ruling if all other good faith criteria are met.

Source: RSMo § 32.200; 12 CSR 10-107.100; Missouri DOR Form 149; 12 CSR 10-101.500; Missouri DOR Letter Ruling, June 1, 2026

Missouri imposes a reduced state sales tax rate of 1.225% on sales of qualifying food and food ingredients, often referred to as groceries. This reduced rate consists of a 1% base rate, as set forth in Missouri Revised Statutes § 144.014 (effective October 1, 1997), plus dedicated smaller taxes for education (1/10 of 1%), conservation (1/8 of 1%), and parks and soils (1/10 of 1%), which together total 1.225%.

Qualifying items: Qualifying “food” includes only items eligible for purchase with benefits under the federal Supplemental Nutrition Assistance Program (SNAP), as defined in 7 U.S.C. § 2012(g)(1). This consists principally of staple food items such as bread, cereals, fruits, vegetables, meats, dairy products, and similar groceries. Prepared foods intended for immediate consumption (e.g., food purchased at restaurants or most hot foods) are excluded; alcoholic beverages, tobacco, and dietary supplements are also excluded by both federal and Missouri DOR guidance.

Sales of food from vending machines are subject to the reduced rate. However, the reduced rate does not apply to any establishment where more than 80% of gross receipts come from prepared food intended for immediate consumption, such as most restaurants or convenience stores with substantial prepared food sales. These sales remain subject to the full state sales tax rate. The 80% threshold is set forth in Mo. Rev. Stat. § 144.014.2(7).

Effective date: The reduced 1% base rate on sales of eligible food has been in effect since October 1, 1997. The total state rate on qualifying food, including the conservation, education, and parks/soils taxes, is 1.225%.

Exclusion of local taxes: Local sales taxes may also apply; the reduced state rate does not automatically reduce any county or city sales taxes, which may be imposed separately by local jurisdictions.

Source: Mo. Rev. Stat. § 144.014; Missouri Department of Revenue – Sales Tax Reduction on Food

Missouri determines which local sales or use tax applies to a transaction based on the type of tax (sales tax versus use tax), the seller's location, and the location where title to the property passes or delivery occurs. The rules are expressly set forth in Missouri regulation 12 CSR 10-117.100, which details specific scenarios for assigning local tax rates to sales made by in-state sellers, remote sellers, and marketplace facilitators.

1. Sales Tax (In-State Sellers): Origin-Based Sourcing

• For most retail sales by in-state sellers, local sales tax is sourced to the seller's place of business where the sale is consummated. If an order is received at a place of business, that physical location determines the applicable local sales tax (12 CSR 10-117.100(2)).
• If the order is received at a location other than a regular place of business (such as by a field representative, agent, or salesperson), the local sales tax rate is determined by the location where the order is received (12 CSR 10-117.100(4)).
• For mobile or out-of-vehicle sales (for example, sales made from a truck), the applicable local tax is determined by the location from which the seller's vehicle is dispatched (12 CSR 10-117.100(5)).
• In all cases, if title to the property passes outside Missouri, no Missouri sales tax applies—but if title passes within Missouri, the transaction is sourced to the appropriate local jurisdiction based on these rules.

2. Use Tax (Remote Sellers & Marketplace Facilitators): Destination-Based Sourcing

• If the transaction is subject to use tax (i.e., property is shipped from outside Missouri by a remote seller or remote marketplace facilitator), the applicable local use tax is sourced to the Missouri location where the purchaser first takes possession of the property (12 CSR 10-117.100(3), (6)).
• Local use tax must be collected and reported separately for each delivery location in Missouri. This rule applies regardless of whether delivery is made by the seller, a carrier, or a drop shipper.
• The requirement for remote sellers and marketplace facilitators to collect local use tax based on delivery location is detailed in Missouri DOR FAQs, not directly in the regulation. As of January 1, 2023, remote sellers and marketplace facilitators exceeding Missouri’s economic nexus threshold must collect local use tax: this effective date is published in DOR guidance but is not specified in the regulation (see DOR Use Tax FAQs).

Summary Table:

• Sales Tax: Sourced to the seller's place of business, the order-taking location, or (for mobile sales) the vehicle dispatch location (origin-sourced).
• Use Tax: Sourced to the Missouri address where goods are first delivered to the purchaser (destination-sourced).

Marketplace Facilitators:

• Missouri follows these same sourcing rules for marketplace facilitators. For orders shipped from a Missouri location, sales tax (origin-based) applies. For remote orders shipped from out of state, use tax (destination-based) applies. Marketplace facilitators with no Missouri location collect local use tax based on where the purchaser receives the property, per DOR FAQ interpretation.

Source: 12 CSR 10-117.100; Missouri DOR Use Tax FAQs

Filing Frequencies and Eligibility

Missouri assigns sales and use tax filing frequencies—monthly, quarterly, or annual—based on a taxpayer's reported or anticipated liability. Per statute and regulation:

• Monthly filing is required for any taxpayer whose total state sales or use tax liability equals or exceeds $500 per month on average, unless otherwise permitted by the Director.
• Quarterly filing is permitted if the average monthly liability is $50 or more but less than $500.
• Annual filing is permitted (at the discretion of the Director) if the liability is less than $50 per month on average. The Director may require more frequent filing if warranted by the taxpayer’s liability, and may reassign frequencies based on actual activity. New businesses estimate anticipated average monthly tax liability for assignment and may be reassessed after initial periods.

See RSMo § 144.080.1; 12 CSR 10-104.020(3)-(5).

Due Dates

• Monthly filers: Returns and payments are due on or before the last day of the following month.
• Quarterly filers: Returns and payments are due on or before the last day of the month after the close of each calendar quarter (April 30, July 31, October 31, January 31).
• Annual filers: Returns and payments are due on or before January 31 for the prior calendar year.

If the due date falls on a weekend or Missouri legal holiday, returns are due the next business day. See RSMo § 144.080.2; 12 CSR 10-104.020(7).

Quarter-Monthly (Accelerated) Payment Requirement

If a taxpayer's average monthly state and local sales/use tax liability equals or exceeds $9,000, “accelerated” (quarter-monthly) payments are triggered under RSMo § 144.085:

• At least 90% of the tax due for the first 15 days of a month must be paid within five business days after the 15th day.
• The remainder is due with the regular monthly return.

Timely Filing Allowance (Vendor Discount)

Per RSMo § 144.140, a timely filing discount of 2% of the amount of state tax due (excluding city, county, or other local sales taxes) is allowed with each timely original return, subject to a maximum of $500 per return. This deduction is not allowed on late or amended returns.

Summary Table: | Average Monthly Tax Liability | Filing Frequency | Due Date | |---------------------------------|------------------|-------------------------------| | ≥ $500 | Monthly (required) | Last day following month | | $50–$499.99 | Quarterly (permitted) | Last day after quarter | | < $50 (if permitted by DOR) | Annual (permitted) | Jan 31 following year |

Source: RSMo § 144.080; 12 CSR 10-104.020; RSMo § 144.085; RSMo § 144.140

Missouri allows cities, counties, and certain special districts to impose local sales and use taxes in addition to the state’s 4.225% base rate. For most retail sales of tangible personal property, the seller must collect state sales tax plus all applicable local sales taxes imposed at the location where the sale is sourced (for sales tax, generally the seller’s place of business; for use tax, the Missouri delivery or use location).

Authority for local rate imposition and scope

• Missouri statutes authorize local jurisdictions to impose sales and use taxes if approved by local voters. By statute, the local use tax rate must be identical to the local sales tax rate within each jurisdiction (RSMo § 144.757). Local rates only apply where the relevant local jurisdiction has enacted and published an ordinance in accordance with state law.
• Missouri regulation 12 CSR 10-117.100 sets the methodology for sourcing local sales tax (origin-based for most in-state sellers; destination-based for local use tax). This includes assignment of local tax rate by place of business for sales tax and by place of first use or delivery for use tax.

How to determine the combined rate

• The Missouri Department of Revenue maintains an official, current local sales and use tax rate schedule known as the “multiletter rate table”, updated quarterly. This publication lists the combined state and local rates (including special districts) by jurisdiction code, and is the definitive source for current combined rates.
• Practitioners should always reference the most recent DOR-issued multiletter rate table, as local rates change frequently. Using outdated rate tables risks noncompliance for under-collection or over-collection of tax.
• For motor vehicle or titled property transactions, special local rate rules may apply; consult the DOR’s vehicle bureau schedules for these sales.

Accessing the official rate table

• The latest multiletter rate table is published in PDF format on the DOR website and is accessible at dor.mo.gov/taxation/business/tax-types/sales-use/tax-cards/. The table lists sales, use, food, and other special local tax rates by jurisdiction and is updated as of each calendar quarter.

Example If a retailer in City X has a 1.5% city sales tax and is located within County Y with a 1.0% county sales tax, the combined rate collected on taxable retail sales at that physical location would be:

• State rate: 4.225%
• County Y: 1.0%
• City X: 1.5%
• Combined: 6.725%

For goods delivered from out of state to a Missouri address subject to use tax, apply the state use tax plus all applicable local use tax rates for the Missouri delivery address.

Source: Missouri DOR Multiletter Rate Table (Jan 2026); 12 CSR 10-117.100; RSMo § 144.757

Missouri’s statewide sales and use tax rate structure has been highly stable since the late 1990s. The official Missouri Department of Revenue Sales/Use Tax Rate Tables document the quarterly effective rates and contain legends specifying statutory changes and their dates. The state rate, as imposed under RSMo § 144.020 and related provisions, has not changed since October 1, 1997.

Base state tax rate (since October 1, 1997):

• The combined statewide rate for tangible personal property and enumerated taxable services has been fixed at 4.225% since October 1, 1997. The rate components are:
• 3.0% General Revenue (RSMo § 144.020)
• 1.0% Education (RSMo § 144.021)
• 0.125% Conservation Fund (Mo. Const. Art. IV, § 43(a))
• 0.10% Parks, Soils, and Water (Mo. Const. Art. IV, § 47(a))

The Department of Revenue’s Sales/Use Tax Rate Table—see the legend on the October 1997 table—shows the adoption of these rates and confirms no subsequent statewide base rate changes.

Reduced state rate on food (groceries):

• Effective October 1, 1997, Missouri established a reduced state sales tax rate of 1.225% for qualifying food and food ingredients, codified at RSMo § 144.014. This rate consists of:
• 1.0% Base Food Rate (RSMo § 144.014)
• 0.125% Conservation Fund (Mo. Const. Art. IV, § 43(a))
• 0.10% Parks, Soils, and Water (Mo. Const. Art. IV, § 47(a))

The DOR’s archived rate tables for October 1997 onward show the effective date for the reduced food rate. No changes to the reduced state rate have been made since its introduction.

Pre-1997 statewide base rates:

• Missouri’s general state rate was periodically increased prior to 1997 with the adoption of additional earmarks (e.g., education, conservation), but details for earlier years require reference to historical session laws or pre-1997 DOR tables, as public digital archives begin with the October 1997 schedule.

Reference practice for historic rates:

• For all periods since October 1997, the DOR’s quarterly Sales/Use Tax Rate Tables—such as the October 1997 table—provide the official statewide (and local) rate, effective dates, and rate legend clarifications. Practitioners must consult the DOR’s corresponding table for the relevant quarter to confirm the proper rate at a given time. Use these tables to verify historical compliance and document rates for audits, refund claims, or litigation.

Source: Missouri DOR Sales/Use Tax Rate Tables – Historic Archive Source: RSMo § 144.020 Source: RSMo § 144.014 Source: Mo. Const. Art. IV, § 43(a)&constit=y) Source: Mo. Const. Art. IV, § 47(a)&constit=y)