In a historic legislative move, Missouri has approved House Bill 594 (HB 594), a landmark piece of legislation that paves the way for the elimination of state-level capital gains taxes on Bitcoin and potentially other digital assets.
The bill now awaits the governor’s signature to become law.
If enacted, Missouri would become the first U.S. state to exempt Bitcoin gains from capital gains tax—marking a major shift in how digital assets are treated under state tax codes.
What HB 594 Proposes
HB 594 amends Missouri’s state tax code to allow residents to exclude capital gains from their adjusted gross income, effectively removing state income tax liability on those gains. While the bill is broadly worded, its relevance to Bitcoin has caught the attention of the crypto community.
The bill reflects growing political interest in treating digital assets more favorably, especially as adoption accelerates among retail and institutional investors.
Why This Matters
Capital gains taxes have long been viewed as a hurdle to widespread crypto adoption, particularly for those who frequently trade or use crypto as a form of payment. By removing this tax burden, Missouri may position itself as a crypto-friendly hub and potentially inspire similar legislation in other states.
What’s Next?
The bill’s final hurdle is the governor’s desk. If signed, Missouri will not only make financial history but could catalyze a broader movement for pro-crypto tax reform across the U.S.
This legislation comes amid rising state-level interest in blockchain and digital asset policies, signaling a broader trend of local governments pushing for innovation and competitive financial frameworks.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/missouri-set-to-become-first-u-s-state-to-eliminate-capital-gains-tax-on-bitcoin/