8-5-2025 – Missouri has secured final approval for legislation that will temporarily halt personal capital gains tax throughout 2025. This pioneering decision marks Missouri as the first state in the United States to waive taxes on profits derived from the sale of assets such as real estate, stocks, and cryptocurrencies, setting a bold precedent in fiscal policy.
The suspension of this tax ensures that Missouri’s investors can retain the full value of profits from their asset disposals without the burden of state income tax. This measure is poised to stimulate investment activity, offering a significant financial reprieve for individuals navigating the dynamic markets of property, equities, and digital currencies.
Looking ahead, Missouri’s authorities have hinted at broader ambitions. Should the state’s coffers continue to swell, the possibility of abolishing corporate capital gains tax looms on the horizon, a move that could further reshape the economic landscape.
For clarity, capital gains represent the financial gains realised when assets—like shares, properties, or crypto tokens—are sold at a profit. While the federal government continues to levy a long-term capital gains tax on assets held for over a year, with rates more lenient than those applied to regular income.
