Capital Gains on Specie Subtraction

What is the capital gains subtraction on the sale or exchange of specie?

  • Effective for the 2026 tax year, this subtraction allows eligible taxpayers to subtract capital gains on the sale or exchange of gold or silver specie from their federal adjusted gross income or federal taxable income on their Missouri tax return.

What tax types qualify for this subtraction?

  • Corporate income tax, fiduciary income tax, and pass-through entity tax qualify for this subtraction. While individual income tax also qualifies, this subtraction is already fully encompassed by the 100% capital gains subtraction permitted on the individual income tax return.

How do I claim this subtraction?

  • Corporate income tax, pass-through entity income tax, and fiduciary tax filers cannot claim the subtraction until tax year 2026. The returns for tax year 2026 will generally be filed in 2027. Individual income tax filers will not need to separately state this subtraction, as it is already fully encompassed by the 100% capital gains subtraction permitted on the individual income tax return.

In the unusual situation of a taxpayer with a short tax year beginning and ending in 2026 and filing a Missouri return before the tax year 2026 forms have been published, C corporations and MO-PTE filers should attach a statement specifying the capital gain on the sale or exchange of specie included in federal taxable income (for corporations) or the sum of separately and nonseparately computed income and deduction items (for MO-PTE), and:

        • For C corporations, claim this subtraction on Page 3, Part 2, Line 7 (Fiduciary, partnerships, and other adjustments) of the 2025 MO-1120 filed for the short tax year beginning in 2026.
        • For MO-PTE filers, claim this subtraction on Page 3, Part A, Line 9 (Other adjustments) of the 2025 MO-PTE filed for the short tax year beginning in 2026.
        • For MO-1041 filers claiming the subtraction for a short tax year beginning and ending in 2026 and attempting to file a return before the tax year 2026 forms have been published, instructions are forthcoming. You may contact dor.fiduciary@dor.mo.gov with any inquiries.