Modifies provisions relating to capital gains taxes

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Modifies provisions relating to capital gains taxes

The following summaries of this bill are available: Print All Summaries Senate Committee Substitute Print SCS/SB 1575 - Current law authorizes an income tax deduction for 100% of income reported as a capital gain for federal income tax purposes.

What This Bill Does

• The following summaries of this bill are available: Print All Summaries Senate Committee Substitute Print SCS/SB 1575 - Current law authorizes an income tax deduction for 100% of income reported as a capital gain for federal income tax purposes.
• The act also applies such capital gains tax provisions to the taxable income of a resident estate or trust.
• This act is substantially similar to HB 2945 (2026).
• JOSH NORBERG Introduced Print SB 1575 - Current law authorizes an income tax deduction for 100% of income reported as a capital gain for federal income tax purposes.

Limits and Unknowns

• This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Official Summary Text

The following summaries of this bill are available:

Print All Summaries

Senate Committee Substitute

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SCS/SB 1575 - Current law authorizes an income tax deduction for 100% of income reported as a capital gain for federal income tax purposes. The act also applies such capital gains tax provisions to the taxable income of a resident estate or trust.

This act is substantially similar to HB 2945 (2026).
JOSH NORBERG

Introduced

Print

SB 1575 - Current law authorizes an income tax deduction for 100% of income reported as a capital gain for federal income tax purposes. This act provides that depreciation that has been deducted for federal tax purposes but recovered upon the sale of the asset, and thus treated as ordinary income for federal tax purposes, shall be considered a capital gain and excluded from income tax for state tax purposes. (Section 143.121)

The act also applies such capital gains tax provisions to the taxable income of a resident estate or trust. (Section 143.341)

This act is identical to HB 2945 (2026).
JOSH NORBERG

Current Bill Text

6743S.04C
1
SENATE COMMITTEE SUBSTITUTE
FOR
SENATE BILL NO. 1575
AN ACT
To repeal section 143.341, RSMo, and to enact in lieu
thereof one new section relating to capital gains
taxes.

Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Section 143.341, RSMo, is repealed and one new
section enacted in lieu thereof, to be known as section 143.341,
to read as follows:
143.341. 1. The Missouri taxable income of a resident
estate or trust means its federal taxable income subject to
the modifications in this section.
2. There shall be subtracted the amount if any that
the federal personal exemption deduction allowable to the
estate or trust exceeds its federal taxable income without
its personal exemption deduction.
3. For all tax years beginning on or after January 1,
2026, there shall be subtracted that amount included in
Missouri taxable income of the estate or trust that would
not be included as Missouri taxable income if said estate or
trust were considered a nonresident estate or trust as
defined in section 143.371. This subtraction shall only
apply to the extent it is not a determinant of the federal
distributable net income of the estate or trust.
4. There shall be added or subtracted, as the case may
be, the modifications described in sections 143.121 and
143.141, and there shall be subtracted the federal income
tax deduction provided in section 143.171. These additions
and subtractions shall only apply to the extent that they

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are not determinants of the federal distributable net income
of the estate or trust.
5. There shall be added or subtracted, as the case may
be, the share of the estate or trust in the fiduciary
adjustment determined under section 143.351.
6. For all tax years beginning on or after January 1,
2026, to the extent included in federal adjusted gross
income, there shall be subtracted one hundred percent of all
income reported as a capital gain for federal income tax
purposes. This subtraction shall only apply to the extent
that they are not determinants of the federal distributable
net income of the estate or trust.