HB 2215 Summary

• Repeals and reenacts Section 143.451, RSMo, governing how corporations apportion income between Missouri and other states for tax purposes.

• Allows taxpayers to elect between two methods for computing Missouri taxable income: a method that counts one-half of partially-in-state sales, or a method that counts only sales fully in the state.

• Adds new provisions for apportioning income from intangible property (patents, copyrights, software, etc.) and services based on where the property is used or services are received by the purchaser.

• Establishes special apportionment rules for investment funds service corporations, allowing them to apportion qualifying sales based on the residency of fund shareholders in Missouri rather than traditional sales allocation methods.

• Applies Missouri income tax to investment funds service corporations organized as corporations or S corporations that have any shareholders residing in Missouri.