If your limited liability company (LLC) sells physical products or certain types of services, you will need to collect and pay sales tax. In Missouri, the first step is visiting the revenue department website and registering for sales tax in order to acquire a seller’s permit, or sales tax permit.
What Products and Services Are Subject to Sales Tax in Missouri?
All sales of tangible property are subject to sales tax in Missouri unless specifically exempted. Services subject to sales tax include telecommunications, some utilities, and the rental or lease of tangible personal property. Exemptions from sales tax include some prescription medication and medical devices.
Missouri Sales Tax Rate
The sales tax rate in Missouri is 4.225%.
Five states have no sales tax. Colorado has the lowest sales tax at 2.9%, while California has the highest rate at 7.25%.
How to Register for Missouri Sales Tax
In Missouri, acquire a seller’s permit by following the Department of Revenue’s detailed instructions for registration:
- Go to the Missouri Department of Revenue business portal.
- Fill out the business tax registration form.
- There is no fee for business tax registration in Missouri.
Use our Sales Tax Calculator to calculate taxes and total purchase amount.
In Missouri, and across the country, collecting sales tax is a must if you want to avoid potentially heavy fines and even closure. It’s crucial that you follow your state’s laws, and you might consider consulting with an accountant or tax attorney to make sure you’re in full compliance.