Missouri

Moving from Delaware to Missouri would LOWER your total state and local tax burden from 12.4% of income to 9.1% of income — a drop of -3.3 pts. On a $100K household budget, that is roughly 3300 in annual savings across income, sales, property, and other taxes combined.

Missouri top marginal income tax rate is 4.7%, versus 6.6% in Delaware. Compare across your expected income bracket — top rates kick in at different thresholds in each state.

Missouri state sales tax is 4.22%. With average local add-ons, the combined rate is 8.39%. This applies to most retail purchases but rules on groceries, prescriptions, and services vary.

Missouri median effective property tax rate is 0.88% of home value. On a $400,000 home, that is roughly $3,520/year. Property tax typically funds schools, municipalities, and county services — rates vary sharply within a state by school district.

Missouri imposes annual vehicle property or ad valorem tax. Expect a recurring annual assessment based on the vehicle's value or registration class, in addition to one-time sales tax at purchase. Budget for this ongoing cost.

Missouri has NO state estate tax and NO state inheritance tax. Heirs are subject only to federal estate tax (over $13.99M in 2025). This is favorable for wealth transfer.

In Missouri: Social Security is not taxed. Pensions and 401(k)/IRA withdrawals are partially taxed.

Missouri capital gains treatment: Taxed as regular income up to 4.7%. Compare to federal long-term capital gains rates (0%, 15%, or 20%) — some states offer preferential treatment for long-term holdings, while others tax capital gains as ordinary income.

Missouri gas tax is 27.5¢/gal — 4.5¢/gal higher than Delaware's 23.0¢/gal. For a 15,000 mile/year driver getting 25 mpg, each 1¢/gal of gas tax = about $6/year.

Missouri allows local income, occupational, or earnings taxes. Kansas City and St. Louis levy 1.0% earnings taxes. Personal property tax on vehicles assessed by county. These are often overlooked but can add 1–3% to your effective rate.

Missouri residency rules: Domicile + 183-day rule. Permanent abode test. To establish residency for tax purposes, typical steps include: update driver's license and vehicle registration, register to vote, file a homestead declaration, close home-state bank accounts where possible, and spend clearly more than 183 days in your new state. If your former state is aggressive (e.g., CA, NY, NJ, OR), keep documentation of every day spent in each state.

Missouri recent tax law changes: Top rate cut to 4.7% for 2024, 4.6% for 2025. Scheduled further reductions based on revenue triggers. Social Security fully exempt from 2024.

For the most current tax information in Missouri, visit the official source at https://dor.mo.gov/. Tax laws change annually; verify rates and rules before making a permanent move. Consult a CPA for advice specific to your situation.