How to Complete Missouri Form MO-PTE: Election, Filing, and Credits

Missouri Form MO-PTE is the annual return an S corporation or partnership files to pay Missouri income tax at the entity level under the state’s SALT Parity Act, so its owners can claim a credit for that tax on their individual returns instead of paying it themselves. For tax years beginning in 2025, the tax equals 4.7 percent of the entity’s Missouri net income, and the return is due April 15, 2026 for calendar-year filers.¹ The election is made simply by checking the designated box on a timely filed return.²

Confirm Your Entity Can File

Only two structures qualify: S corporations and partnerships doing business in Missouri. A limited liability company qualifies if it is treated as a partnership or S corporation for federal purposes. General, limited, and limited liability partnerships all count; publicly traded partnerships do not.³

Sole proprietorships, single-member LLCs disregarded for federal tax purposes, and C corporations cannot file MO-PTE. The entity must be one that issues federal Schedule K-1s to its owners.⁴

Make the Election and Handle Opt-Outs

There is no separate election form. Filing MO-PTE with the election box checked is the election. Once made, it cannot be revoked for that year, and it does not carry forward. You have to elect again on next year’s return.²

Individual members can opt out. Resident members file Form MO-PTE Opt-Out; nonresident members file Form MO-PTENR. The opt-out must reach the Department before the MO-PTE’s original (un-extended) due date or the actual filing date, whichever comes first. You may attach a member’s opt-out to a timely filed MO-PTE. Once submitted, an opt-out stays in effect for future years until the member revokes it by completing Part 3 of Form MO-PTE Opt-Out and notifying the entity.⁵

When members opt out, remove their allocable income, deductions, additions, and subtractions from the MO-PTE calculation. Attach the federal K-1 for each opt-out member to the return.²

Gather What You Need

Before you start, pull together the entity’s federal return (Form 1065 for a partnership, Form 1120S for an S corporation), every federal Schedule K-1 issued to members, and the entity’s FEIN. You will also need each member’s full name, Social Security Number (or FEIN for member entities), and ownership percentage. Download the form for the correct tax year from the Missouri Department of Revenue; a prior-year version will cause processing delays.

Complete the Income and Tax Calculation

Lines 1 Through 9: Missouri Net Income

Line 1 asks for the total of separately and nonseparately computed income and deduction items. S corporations take this from Federal Form 1120S, Schedule K, Line 18. Partnerships take it from Federal Form 1065, Page 6, Analysis of Net Income (Loss), Line 1.²

Lines 2 and 3 are the Missouri modifications, calculated on Page 3, Part A. Common additions include Missouri income tax and other states’ income taxes deducted federally, Kansas City or St. Louis earnings taxes, interest from out-of-state state and local bonds excluded federally, and your share of fiduciary or partnership adjustments from Form MO-1041 or Form MO-1065. Subtractions on Part A, Lines 6 through 12 include interest from U.S. government obligations and Missouri-specific exclusions. Transfer the addition total to Line 2 and the subtraction total to Line 3.

Line 4 is Line 1 plus Line 2 minus Line 3. If all income is from Missouri sources, enter the same figure on Line 5. Otherwise, complete and attach Form MO-MS PTE to apportion the income, multiply Line 4 by the resulting percentage, and put the result on Line 5.

Line 6 is the Missouri business income deduction, computed on a separate Schedule PTE-BD you attach to the return. Line 7 captures income from lower-tier affected business entities: if your entity owns a share of another partnership or S corporation that also filed MO-PTE, enter the aggregate here. Line 8 is for Missouri net losses carried forward from prior MO-PTE filings. Line 9 is Line 5 minus Lines 6, 7, and 8.²

Line 10: The Tax

Multiply Line 9 by Missouri’s highest individual income tax rate for the year. For tax years ending in 2025, that rate is 4.7 percent.¹ If the result is negative, enter zero. The remaining lines apply credits and any voluntary payments already made during the year to arrive at tax due or overpayment.

List Each Member in Part B

Part B is where you report every member’s share of the credit. Accuracy here directly controls what each owner can claim on their personal return. For each member, complete:

Column 1: full name. Attach additional sheets if you have more members than rows.
Column 2: check if the member is a nonresident of Missouri.
Column 3: check if the member filed an opt-out election.
Column 4: Social Security Number, or FEIN if the member is a business entity.
Column 5: ownership percentage from the federal Schedule K-1, rounded to two decimals. For partnerships with different profit and capital percentages, use the profit percentage.
Column 6: the member’s pro rata share of the tax from Line 12, to the extent paid. Leave blank for members that are themselves S corporations or partnerships.
Column 7: check if the member opted out and is therefore not eligible for the PTE credit.

When any member opts out, recalculate the remaining members’ percentages. Divide each participating member’s original share by the total percentage held by all participating members. If an opt-out member held 30 percent and a participating member holds 10 percent, that participating member’s adjusted percentage is roughly 14.3 percent (10 divided by 70).²

Filing Deadline, Extensions, and Payments

MO-PTE is due the fifteenth day of the fourth month after the tax year ends. For calendar-year entities, that is April 15. When that date falls on a weekend or legal holiday, the deadline moves to the next business day.²

File Form MO-7004 to request up to 180 additional days. If the entity already has an approved federal extension, Missouri grants an automatic state extension; just attach a copy of the federal extension when you file. You need MO-7004 only if you expect to owe tax, want a Missouri extension without a federal one, or need a Missouri extension longer than the federal automatic period. An extension buys filing time, not payment time. Unpaid tax at the original due date triggers a 5 percent penalty plus interest.⁶

Estimated tax payments are not required for the pass-through entity tax. To spread payment across the year, submit voluntary payments using Form MO-PTEAP.⁴

The Department of Revenue encourages electronic filing through its online portal, and electronic filers get a confirmation receipt as proof. Paper returns take several weeks longer to process. Mail paper returns and payment to:

Missouri Department of Revenue
P.O. Box 3080
Jefferson City, MO 65105-3080²

Give Members What They Need to Claim the Credit

Paying the tax on MO-PTE is only half the transaction. Each participating member has to claim their share on their individual Missouri return using Form MO-TC, attaching a report from the entity that documents the credit. If your entity does not generate its own report, use Form MO-5889 to convey the information.⁴

Whatever form the report takes, it must show the entity’s FEIN, each member’s name and identification number, the ownership percentage, and the dollar amount of that member’s PTE tax credit. For members that are trusts, include a grantor letter or Form K-1 identifying the trust’s owner.⁴

The election does not change how members report their normal partnership or S corporation items. They still report the pass-through income on their personal returns and apply Missouri modifications; the credit offsets the tax they would otherwise owe on that income.

A Note on Nonresident Members

A nonresident individual whose only Missouri-source income comes from an entity filing MO-PTE does not have to file a Missouri individual return for that year.⁴ A nonresident with any additional Missouri income still needs to file individually and claim the credit through Form MO-TC.

1
Missouri Department of Revenue. 2025 Individual Income Tax Year Changes
2
Missouri Department of Revenue. Form MO-PTE Instructions
3
Missouri Revisor of Statutes. Missouri Code 143.436 – SALT Parity Act
4
Missouri Department of Revenue. Pass-Through Entity Tax FAQs
5
Missouri Department of Revenue. Missouri Resident Member Opt-Out of Pass-Through Entity Income Tax
6
Missouri Department of Revenue. Application for Extension of Time to File