The Missouri Department of Revenue has announced corporate income tax year changes, effective for the tax year beginning January 1, 2024, which will be reflected on the 2024 Missouri Corporation Income Tax Return. (Missouri 2024 Corporation Income Tax Year Changes, Mo. Dept. of Rev., 12/13/2024; Important Taxation Changes from 2024 Legislative Session, Mo. Dept. of Rev, 12/13/2024.)
Tax credits.
Missouri has updated the following credits:
Adoption Tax Credit: The fiscal year limitation on the cumulative amount of credits that can be claimed by all taxpayers in a single fiscal year is removed. As a result, this credit no longer is subject to apportionment effective July 1, 2024. If you are claiming an adoption tax credit that was issued for a tax year that began on or before January 1, 2024, you will utilize credit code ATC, which remains non-refundable.
Entertainment Industry Jobs Tax Credit Program: A new tax credit program called the Entertainment Industry Jobs Act has been created, which is to be administered by the Missouri Department of Economic Development. Starting January 1, 2024, any taxpayer may qualify for a tax credit for rehearsal expenses and tour expenses incurred by the taxpayer if they meet the minimum expenditure dollar amounts.
Salt Parity Act.
Any member of an affected business entity can opt-out and not have tax imposed under the Salt Parity Act. The federal qualified business income tax deduction has been removed and replaced with the Missouri business income deduction.
Due dates.
The due date for the calendar year 2024 Missouri Corporation Income Tax Return is April 15, 2025, and the extension due date is October 15, 2025. The Adoption Tax Credit, Food Pantry Tax Credit, and Champion for Children Tax Credit are all due April 15, 2025.
Federal broadband grants’ income tax deduction.
Taxpayers now can receive a subtraction from their Missouri Adjusted Gross Income for 100% of the grant money they received from a federal, state, or local grant program, for the purpose of providing or expanding broadband internet to the areas of the state that are deemed to be lacking. Effective on August 28, 2024, this subtraction may retroactively be claimed for grant money disbursed during tax years beginning on or after January 1, 2022.
2024 legislative session.
The guidance also includes taxation changes from the 2024 legislative session.
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