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Does Missouri Tax Annuity Income? Yes, Up to $6,000 Subtracted

Updated October 5, 2026. Quick answer: Yes, with a subtraction. Missouri’s 2025 instructions list “Annuities, pensions, IRAs, and 401(k) plans funded by a private source.” A private-source subtraction of up to $6,000 applies in full only when Missouri adjusted gross income is under $25,000 (single), $32,000 (married filing combined) or $16,000 (married filing separately).

State retirement-income forms, line by line: Missouri Form MO-A.

How Missouri treats annuity income

ItemWhat the documents say
TreatmentTaxed on the graduated schedule; a capped subtraction for private retirement income
Top rate“$256 plus 4.7% of the excess over $9,191”
Private-source subtraction“Amounts from Line 6Y and 6S or $6,000, whichever is less”
Public pensionsThe instructions’ public-pension line reads “Amount from Line 1 or $47,633 (maximum social security benefit)”
Statute“annuities from a defined pension plan and individual retirement arrangements”

A $24,000 example

A single filer whose Missouri adjusted gross income is under $25,000 subtracts up to $6,000 of private-source annuity payments, leaving $24,000 minus $6,000 = $18,000 in income.

If all of that $18,000 sits above the $9,191 line, the top 4.7% rate is computed as ($24,000 minus $6,000) x 4.7% = $846, before the standard deduction and any other subtraction.

What changes in 2026

The latest documents read print no 2026 change to the way annuity income is taxed.

Federal rules

The state’s treatment sits on top of the federal one. The IRS explains the federal side in Topic no. 410, Pensions and Annuities and Publication 575, Pension and Annuity Income.

Related: whether Missouri taxes pensions, how Missouri taxes retirement income, state tax on 401(k) and IRA withdrawals, how a surrendered annuity is taxed, and pension and annuity decisions.

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Sources

Sources: the primary documents linked above, read on October 5, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the plan administrator or the agency itself is the right place to confirm anything consequential.

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