E-file Required for Quarter-Monthly Sales Tax
Sales tax remitted by your company is subject to the provisions of Section 144.081, RSMo. which requires you to submit Missouri state sales tax payments on a quarter-monthly basis. Quarter-monthly periods are defined as:
- The first seven days of the calendar month.
- The 8th to the 15th day of the calendar month.
- The 16th to the 22nd day of the calendar month.
- The 23rd day to the end of the calendar month.
As a quarter-monthly filer, you are required to pay at least 90 percent of the actual tax due within three banking days following the end of the quarter-monthly period. Your monthly return reporting your total sales tax liability for the month is still due on or before the last day of the following month. Any additional tax due must be paid on or before the due date of the monthly tax return.
Since January 2004, all sellers subject to the requirement of quarter-monthly filing must pay quarter-monthly sales tax electronically. The Missouri Department of Revenue accepts two methods for electronic payment:
- Electronic File Specifications and Record Layouts for EFT of Business Tax Return and Payment Using ACH Credit with TXP Addendum (DOR-4585)
- Internet filing via credit card or electronic bank draft
- E-file Information and Due Dates for Sales Tax
Because of the electronic payment requirement, payment vouchers are no longer available for quarter-monthly filers. However, monthly and amended returns must still be submitted by paper. Blank copies of sales tax returns are available on our forms page.
Who must file quarter monthly sales tax?
You are required to make quarter-monthly payments if your average monthly Missouri state sales tax equals or exceeds $15,000 during at least six of the previous 12 months.
When are payments due?
Your quarter-monthly payment is considered timely if paid within three banking days after the end of each quarter-monthly period. A banking day does not include any Saturday, Sunday, or holiday observed by the U.S. Postal Service. The taxpayer should ensure an electronic payment is received by the Department of Revenue on the due date.
What happens if my payments are late?
If you do not make a quarter-monthly payment on or before the due date, a five percent penalty will apply.
How is the amount of the quarter-monthly payment computed?
To compute your quarter-monthly payment for each week, if filing on an actual basis, multiply your taxable sales for the weekly period by 4.225% x 90% x 98%. To compute your quarter-monthly payment for your food locations for each week, if filing on an actual basis, multiply your taxable sales for the weekly period by 1.225% x 90% x 98%. If filing the estimated amount, you must remit 100% of the estimated amount. The 2 percent timely payment discount has already been figured into the estimated payments. Any additional discount deducted on estimated payments will result in an underpayment and be subject to penalty.
What happens if I overpay my actual liability with my quarter-monthly payments?
If your quarter-monthly payments exceed your actual sales tax liability for the month, you may use this credit amount on your next quarter-monthly payment(s) or sales/use tax return filed with the Department. Please adjust the amount remitted on your quarter-monthly payment(s) to reflect the credit or indicate on the return that you are using the credit. If you choose to have the overpayment refunded, you must complete and submit the Seller's Claim for Sales or Use Tax Refund or Credit (Form 472S).
What about local sales taxes?
Section 144.081, RSMo affects Missouri state sales tax only. You will continue to submit local taxes on your monthly return, as in the past.
What if my estimated quarter-monthly payment appears too high?
Estimated quarter-monthly payments are calculated by the Department based on previous calendar year taxable sales. The Department will review written requests for reduction or waiver of your quarter-monthly amount if your estimated amount is due to the result of a sale or permanent loss of a portion of your business or unusually large sales that resulted in a one-time payment of sales tax during the qualification period. Your request for reduction or waiver of the quarter-monthly payment for any of these reasons must include a projected future monthly sales tax liability. Any reduction or waiver will be granted in writing by the Department. Requests for reduction or waiver must be renewed annually.
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