Yes, you can file and pay your taxes online through Quick Tax.

Yes, the monies earned by residents are subject to the City’s one percent earnings tax regardless of where they are earned unless exempted by state statute or municipal ordinance. Residents who are self-employed must pay the one percent tax on the net profit of their business by filing a profits return with the Revenue Division by April 15 of each year.

The City allows ordinary and necessary expenses as determined for the purpose of Federal taxable income. The City does not allow deductions related to unearned income, special deductions or credits.

Partnerships are allowed to pass net profits through to partners; however, an informational return (Form RD-108/108B) is required to be filed by the partnership, listing the name, address, SSN and distributive share of each partner.

A partner who is a resident of the City will pay profits tax on his or her entire distributive share of the net profits of the partnership. A nonresident partner will pay profits tax on that portion of his or her distributive share of the net profits derived by the partnership from business conducted in the City. The partnership completes the allocation on Schedule Y of its information return to determine what portion of the net profits was derived from business conducted in the City. A partner should not make a second Schedule Y allocation on his or her own profits return.

The Revenue Division does not treat S Corporations as pass-through entities. If the S Corporation has activities in Kansas City, MO, the S Corporation is required to file a Profits Return (Form RD-108/108B). The individual members do not have a filing requirement.

Rental income is subject to the earnings tax to the extent that the rental, ownership, management, or operation of the property from which the income is derived constitutes a business activity of the taxpayer in whole or in part.

See our Tax Guide for Rental Businesses for more information including tips and examples.

Late payments are subject to a penalty of 5% per month (up to a maximum of 25%) plus interest at the rate of 12% per year from the due date. These rates apply to the following tax types imposed under the earnings tax: wages, profits and employer withholding of the earnings tax.

In many situations taxpayers can setup a monthly payment plan to payoff outstanding amounts due. Requests for payment plans can be submitted electronically through Quick Tax.  Watch a short video on How to Request a Payment Plan on Quick Tax.

For more information about payment plans, or to request a payment plan for longer than 6 months, email us or call (816) 513-1120. 

You may file electronically or complete your business return along with all supporting documentation and mail it to us at the address on the form.

 To close your City tax account, you can do one of the following:

• Check the appropriate box on your tax return or
• Complete an account closure form and email or mail it to the address at the bottom of the form.

You may also notify us by:

• Email: revenue@kcmo.org
• Phone: Taxpayer Services at (816) 513-1120
• Mail to: City Hall, 414 E. 12th St. 2nd floor, room 201W, Kansas City, MO 64106

Please complete a taxpayer information form and submit via email or by mail to the address on the top of the form. Address change requests may also be submitted online using Quick Tax.

Yes, businesses with employees in Kansas City, Missouri are subject to local taxes. In general, these include the profits tax, earnings tax withholding and business licensing.

This includes employees working from home in Kansas City, Missouri. A business with remote workers is required to obtain a business license.

If the taxpayer's only activity in Kansas City is from remote workers then only one license is required regardless of the number of workers.

Beginning tax year 2022, all requests for Wage earner and Profits tax refunds must be filed by the 15^th day of the 4^th month after the end of its tax year. If the due date falls on a Saturday, Sunday or legal holiday, the return will be due on the next business day. If a valid extension request is submitted to the City of Kansas City, Missouri, a taxpayer will have six additional months to file a return.

The type of required documentation varies from one taxpayer to another. To determine what type of supporting documentation may be required, please contact Taxpayer Services at (816) 513-1120.

In general, taxable earnings are gross compensation less contributions to cafeteria plans and qualified deferred compensation plans, similar to the amount used to calculate Box 1 for federal income tax purposes.

City Ordinance mandates that employers withholding earnings tax for their employees must file an annual reconciliation (Form RD-113). The penalties for failure to comply with this requirement are listed below.

The same penalties apply to employers who fail to submit the required W-2 records to the Revenue Division. The penalties mirror the penalties of the Internal Revenue Service.

Beginning January 1, 2021, Form RD-113 and W-2 records must be filed electronically.

Penalty Schedule

Get answers to questions about the Bulk Filing Program for the Employer’s Quarterly Return of Earnings Withheld (RD-110).

Get answers to questions about the Bulk Filing Program for the Employer’s Annual Reconciliation of Earnings Tax Withheld (RD-113).

Beginning January 1, 2021, W-2 records must be submitted electronically for all taxpayers - regardless of the number of employees. Failure to file electronically may result in filing penalties.

Acceptable file formats include EFW2, TIB-4 and CSV. Files must include local wages and local tax withheld. For more information refer to the Magnetic Media and Electronic Filing Specifications.

With the exception of restaurants, a business operating in the City must obtain a business license. This requirement applies to business entities regardless of their size or composition: corporation, partnership, association, company, individual, or any other type of business arrangement. A few professions, which are licensed by the state–most notably doctors, dentists, and lawyers–are not required to have a business license. To verify if you need a business/occupational license, contact the Business License section at (816) 513-1135.

The cost of a license varies by type of business. When first obtaining a license, new businesses are required to register, file the appropriate return, and pay an initial fee. This must be done before the business starts operating. The fee will be prorated, based on the number of months remaining in the year. The fee for subsequent years is due at the time of license renewal and is often based on the business’ gross receipts during the previous year of operation.

A Registration Application (Form RD-100) is to be completed by all businesses prior to completing any tax forms.

• Annual Business License Application (Form RD-105) – Prior year reconciliation/ current year estimation  (retail/wholesale/service/manufacturer/contractor) and special fee tables
  
  New businesses: The preliminary business license fee due on Form RD-105 (Page 2) is based on estimated gross receipts for the current year.

• Annual Business License Application – Flat Rate (Form RD-103)

All forms are to be completed fully along with all required clearances and any supporting documentation included (Workers’ compensation required of construction applications).

Get more tax forms 

Ride-sharing companies are issued an annual permit from the Missouri Department of Revenue. No additional local license is required for drivers to operate within Kansas City, MO for license periods that begin after August 31, 2017.

Residents of Kansas City, MO, and non-resident individuals who provide ride services in Kansas City, MO, are still subject to the earnings tax.

See our Tax Guide for Ride-Sharing Drivers for more information including filing tips and links to relevant resources such as forms.

A business license is required in instances where the owner is active in the management of the rental property. If the owner employs a management company, then the management company is required to obtain the business license not the property owner.

Contact us by email, telephone, or in person.

• Email: business.license@kcmo.org
• Phone: (816) 513-1135
• Visit our Business License Office at: City Hall, 1st floor, 414 E. 12th St., Kansas City, MO 64106

Office Hours: Monday - Friday (except holidays): 8:00 AM - 4:30 PM

The City levies a tax of 7.5 percent of the amount of sales or charges for all sleeping rooms paid by the transient guests of hotels, motels and tourist courts situated within the City, and doing business within the City (excluding sales tax). Returns and payments are due at the same frequency used for Missouri sales tax purposes.

See our Tax Guide for Hotels for more information including tips and links to relevant resources such as forms and regulations.

The City levies a tax of 2 percent of the gross receipts derived from the retail sales of food by every person operating a food establishment. Returns and payments are due at the same frequency used for Missouri sales tax purposes.

See our Tax Guide for Restaurants for more information including tips and links to relevant resources such as forms and regulations.

You should charge the convention and tourism tax (2%) on all prepared food items sold in Kansas City, Mo. “Preparation” includes heating and/or mixing of food, assembling two or more food ingredients or repackaging of food into serving-sized portions.

You should also charge the convention and tourism tax on prepackaged food or drinks regularly sold with prepared food items.

No additional Business License is required if all sales are subject to the convention and tourism tax.

Convention and tourism taxes should be remitted to the City at the same frequency that you remit sales taxes to the State of Missouri. See instructions and forms for more info.

You are not required to charge the convention and tourism tax if you do not sell prepared food or only sell those items found in Section 1.551-3 (B)(5)(a) – (f) of the Convention & Tourism Tax Regulations (page 11). In this case, you would file an Annual Business License Application (RD-103). For example, a traditional ice cream truck would not charge the convention and tourism tax but would instead file Form RD-103.

You should charge the convention and tourism tax (2%) on all orders taken and prepared in Kansas City, Mo. that are delivered in the State of Missouri.

You should also charge the convention and tourism tax on prepackaged food or drinks regularly sold with prepared food items.

Convention and tourism taxes should be remitted to the City at the same frequency that you remit sales taxes to the State of Missouri. See instructions and forms for more info.

No additional Business License is required if all sales are subject to the convention and tourism tax. If you sell items not subject to the convention and tourism tax you are required to file an Annual Business License Application (Form RD-105) to report these sales.

Use the business license search app to find out if a person or business has a current business license with the City of Kansas City, MO.

Hotels, motels, and tourist courts collect and remit $1.50 per room, per day. Beginning August 1, 2023, this will increase to $3.00 per room, per day. Returns are filed quarterly.

See our Tax Guide for Hotels for more information including links to relevant resources such as forms.

Use the City’s mapping tool to determine if your business is in a special sales tax district. Click on the Layers dropdown (in right-hand corner), select the Community Improvement District, Neighborhood Improvement District and Transportation Development District checkboxes and enter the business address.

For a complete listing of these districts and the corresponding sales tax rate go to the Missouri Department of Revenue website.

The earnings tax (sometimes referred to as “e-tax”) is a one percent tax on an individual’s earned income such as salaries, wages, commissions, tips and other compensation. It generates revenue that pays for a wide variety of basic City services used by all those who live and work in Kansas City, Missouri. In addition to helping fund basic City services such as repairing roads and weekly trash collection, the revenue from the earnings tax also pays for police officers, fire fighters, paramedics and ambulance services. Revenue from the earnings tax also helps fund snow removal, codes inspection, historic preservation and other City needs.

The earnings tax is paid by any business or person who lives or works in Kansas City, Missouri.

In many situations taxpayers can setup a monthly payment plan to payoff outstanding amounts due. Requests for payment plans can be submitted electronically through Quick Tax.  Watch a short video on How to Request a Payment Plan on Quick Tax.

For more information about payment plans, or to request a payment plan for longer than 6 months, email us or call (816) 513-1120. 

Income from qualified deferred compensation plans is not subject to the earnings tax. Common examples of qualified plans include 401(k), 403(b), 501(c)(3) or 457(b).

Social security payments are not subject to the earnings tax.

Payments related to a permanent disability such as a disability pension or retirement are not subject to the earnings tax.

Payments related to a temporary disability (either short-term or long-term) are subject to the earnings tax if the premiums for the benefit were paid entirely by the employer or by the employee before tax. If the premiums for the plan were paid entirely by the employee after tax, the disability payments are not subject to tax. If the premiums were paid partly by the employee with after tax monies and partly by the employer the payments are taxable based on the ratio of the amount paid by the employee to the total premium amount paid. See page 22 of the Earnings and Profits Tax Regulations for more information.

For tax years beginning January 1, 2016 and earlier, your military service pay is subject to the earnings tax if you were a resident of Kansas City, Mo. and claimed Missouri as your Home of Record.

For tax years beginning January 1, 2017 and after, your military service pay is exempt from the earnings tax regardless of your resident status or Home of Record.

Combat zone and hostile fire/ imminent danger pay are not subject to the earnings tax regardless of tax year, resident status or Home of Record.

Nonqualified stock options are subject to the one percent earnings tax. The amount subject to tax is based on two factors:

• Residency status
• Percentage of days worked inside Kansas City, Missouri

The two factors are applied from the grant date to the exercise date to determine the amount subject to the earning tax. Residents of Kansas City, Missouri are taxed on all earned income. Non-residents are taxed on the portion of time worked inside of Kansas City, Missouri during the tax year.

Example: A taxpayer is granted nonqualified stock options of $150,000 in tax year 2016. The options are exercised in tax year 2021. The taxpayer was a resident in tax years 2016 through 2018. During tax years 2019 through 2021 the taxpayer worked 75% of the time outside of Kansas City, Missouri.

$93,750 of the stock options are subject to the earnings tax. The taxpayer was a resident for three of the six years. Therefore, 50% of the options are taxed based on residency ($150,000 X 0.50% = $75,000). The remaining $75,000 is taxed based on the portion of days worked inside of Kansas City, Missouri ($75,000 X 0.25% = $18,750). Resulting in a total taxable amount of $93,750 (or $75,000 + 18,750).

For more info on the treatment of stock options , go to the Earnings and Profits Tax Regulations.

Beginning tax year 2022, all requests for Wage earner and Profits tax refunds must be filed by the 15^th day of the 4^th month after the end of its tax year. If the due date falls on a Saturday, Sunday or legal holiday, the return will be due on the next business day. If a valid extension request is submitted to the City of Kansas City, Missouri, a taxpayer will have six additional months to file a return.

Send an email with your tax questions and requests. We will respond within 2-3 business days.

Visit Our Office

City Hall, 2nd floor
414 E. 12th St.
Kansas City, MO 64106
Phone: (816) 513-1120
Email: revenue@kcmo.org

Office Hours

Monday - Friday (except holidays): 8:00 AM - 5:00 PM

In March 2022, Google Fiber discontinued its television service to subscribers.

As a Video Service Provider, Google Fiber was required by State Statute (RSMo 67.2689) and City Code (Section 19-82) to collect from customers a five percent (5%) franchise fee on gross receipts derived from the sale of video service and then remit the proceeds of the fee to the City.

This 5% fee was not disclosed on customer bills as a separate line item.

With the discontinuation of television service, Google Fiber no longer collects and remits the franchise fee. However, Google Fiber continues to provide internet service to Kansas City households and as such, uses the City’s right of way to provide that service. Maintaining the City’s right of way is costly, and the utility franchise fee is a method for the City to cover the costs of right of way maintenance.

A license agreement with Google Fiber was approved by the City Council via Ordinance No. 220370. This ordinance stipulates that Google Fiber will collect a 1% fee on the gross receipts derived from the provision of internet service and will remit that fee quarterly to the City. This fee is designed to replace the revenue from the discontinued television service.

For greater transparency, the 1% fee is now disclosed on the customer’s bill as a separate line item.

The City will use this revenue to aid in maintenance of the City’s public right of way.

For the earnings tax,  wage earner and profits tax refund requests must be submitted by the returns original due date.  An extension request filed with the City of Kansas City, Missouri will provide a taxpayer with six additional months to file the return. However, the taxpayer must comply with the City’s Municipal Code of Ordinances to be considered valid.

For all other tax types three years from the due date of the return.              

Five years from the filing date for Earnings Tax and three years for all other taxes.

The Revenue Division accepts most City returns as filed. Some returns, however, are examined or audited to determine if income, expenses and apportionments are reported accurately.

When a taxpayer is selected for an audit, all accounts are examined to verify that a taxpayer is in compliance with respect to all tax liabilities within the City’s statute of limitations.

When audits involve earnings, the City does have a reciprocal agreement with the Internal Revenue Service and there is a significant chance that adjusted returns will be forwarded to the IRS.

Chapter 68, Section 68-382. Imposition of tax. You may review the City ordinance or call the City clerk’s office at (816) 513-3360.

Chapter 68, Section 68-395. Duties and authority of director. During the audit or examination process, many times taxpayers are asked to submit additional documentation to assist with the process. This allows for a more expedited and efficient examination.

Yes. Special assessments are liens attached to the property and transfer with property ownership. If you worked with a title company for the purchase of the property, please contact the title company to determine responsibility for the assessment.

Yes. If  changes to the ownership and mailing address information have not been recorded and/or communicated to us prior to the billing, the billing statement will be sent to the most current owner and mailing address of record. It is the responsibility of the property owner to ensure ownership and mailing address information on file is correct. New ownership information should be updated with the county in which the property is located.

Yes, only for installment type assessments like sewers and water mains. Interest accrues at the ten (10) year T-Note rate or 5%, whichever is greater, and is based on the original balance of the assessment.

City Charter specifies that interest can only be waived if there has been a clerical error. Clerical errors are errors in calculations, incorrect property billing, and/or incorrect quantity billed and/or billing for work not performed.

All sewer and water main assessments can be paid in full within sixty (60) days without interest, or the assessment will automatically be placed on the City’s installment plan of fifteen (15) annual installments. Failure to pay an installment will result in delinquency, voiding the payment plan. The entire balance of the assessment will become due immediately and a penalty of one-half percent per month, maximum of twenty-five (25%) percent will be enforced. Board-up, demolition, trash and weed, and re-inspection assessments are required to be paid within thirty (30) days. If not paid, the assessment becomes delinquent and a penalty of one percent per month, maximum of twenty-five (25%) percent will be enforced.

You can pay in person at City Hall by check, credit/debit card, cash, money order, and cashier’s check. You can also pay online using a credit/debit card or ACH Debit which is an online check that debits the funds directly from your bank account.

Up to 2-3 days after it’s received in our office.

Checks should be made payable to KCMO City Treasurer and can be mailed to P.O Box 801751, Kansas City, MO 64180-1751.

our account will become delinquent, voiding any annual installment payment plan originally offered, making the entire amount due at that time.

If you have received a billing statement in error, or no longer own the property described on the statement, please return the billing statement with any forwarding information you may have for the new owner, to City Hall, Revenue Division, 2nd Floor, 414 East 12th Street, Kansas City, MO 64106. This will allow us to resend the bill to the correct owner.

Sewer and water main assessments can be paid in 15 annual installments. Other assessment types cannot be placed on payment plans.

To dispute a special assessment bill,  please call or correspond in writing to the department identified on the reverse side of the bill for the type of assessment on your account. If you have questions about payment of the bill, contact Revenue Division Customer Service at (816) 513-1120 and select option 5.

Call Revenue Division Customer Service at (816) 513-1120, option 5. You may be asked to verify the payment type and provide documentation of proof of payment.

Call Revenue Division Customer Service at 816-513-1120, option 5.

Yes. Special assessments are liens attached to the property for improvement work performed on the property and transfer with property ownership.  All nuisance special assessment liens are also considered personal debt to the owner at the time the work was performed. Nuisance special assessments include board-ups, demolitions, re-inspections, and trash and weed assessments.

Contact the County Collector’s Office to make payment.

Pay the amount owed plus any penalties and interest to the City Treasurer prior to September 15.

Assessments that have gone to the County are not allowed to be retracted unless a clerical error has been found.

Send an email with your tax questions and requests. We will respond within 2-3 business days.

Visit Our Office at:

City Hall
Revenue Division, 2nd floor
414 E. 12th St.
Kansas City, MO 64106
Phone: (816) 513-1120
Email: revenue@kcmo.org

Office Hours:

Monday - Friday (except holidays): 8:00 AM - 5:00 PM

(816) 513-1077