Missouri Governor Mike Kehoe, a Republican, said he is preparing a proposal to eliminate the state’s income tax, a change that he described as a “top priority” for 2026.

Why It Matters

Only nine states in the U.S. do not levy income taxes at all: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming.

New Hampshire joined the list this year, repealing its interest and dividends tax. Washington does not have a personal or corporate income tax, but the state does tax capital gains income.

Many of these states have benefited from having no income taxes, with Florida and Texas reporting especially high influx of newcomers moving from higher-taxed states. However, cutting one tax often forces governments to increase another—often the sales tax—to mak

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