Missouri Restaurants Face Sales Tax Challenges with Third-Party Delivery

Who is responsible for collecting and remitting sales tax on orders placed through DoorDash, Grubhub, and Uber Eats?

Apr. 6, 2026 at 6:54pm

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A minimalist studio still life photograph featuring a stack of restaurant receipts, a calculator, and a pen arranged on a clean, monochromatic background, symbolizing the importance of financial oversight and data reconciliation for restaurant owners.A meticulous accounting of sales data and tax obligations is essential for restaurants navigating the complexities of third-party delivery platforms.St. Louis Today

The rise of third-party delivery platforms in Missouri has created confusion around sales tax compliance for restaurants. While these platforms offer convenience and expanded reach, they also introduce complexity in determining who is responsible for collecting and remitting sales tax on orders. Many restaurant owners mistakenly assume the delivery service handles the tax, leading to costly errors like double payments or compliance violations. This article breaks down the sales tax framework in Missouri and provides best practices for restaurants to maintain control over their financial data and stay compliant.

Why it matters

Failing to properly manage sales tax obligations can result in two major risks for restaurants: overpaying taxes by reporting and paying tax twice on the same transactions, or underreporting taxes and facing audits, penalties, and interest charges. These mistakes can significantly impact a restaurant's already tight margins in an industry facing rising costs and fierce competition.

The details

In Missouri, sales tax on prepared food is generally imposed on the restaurant as the seller, regardless of how the order is placed. This means the restaurant, not the delivery platform, is responsible for collecting and remitting sales tax. However, some platforms may display tax charges or claim to handle tax collection, leading restaurant owners to mistakenly assume their compliance obligations have been met. Reconciling sales data across all channels, understanding each platform's reporting, and working with a knowledgeable accountant are critical to avoiding these costly errors.

  • The rise of third-party delivery platforms in Missouri has transformed the restaurant industry over the past several years.
  • New 'marketplace facilitator' laws in some states have shifted sales tax collection responsibility to delivery platforms, but Missouri's application of these laws has been limited and inconsistent.

The players

DoorDash

A popular third-party delivery platform that connects restaurants with customers.

Grubhub

Another major third-party delivery service operating in Missouri.

Uber Eats

A third-party delivery platform owned by Uber that provides food delivery services.

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What they’re saying

“Failing to properly manage sales tax obligations can result in two major risks: overpaying taxes by reporting and paying tax twice on the same transactions, or underreporting taxes and facing audits, penalties, and interest charges.”

— Martin Smith, Founder and Editor-in-Chief, St. Louis Restaurant Review

What’s next

Restaurant owners should work closely with their accountants to review their sales tax compliance processes, reconcile data across all sales channels, and ensure they are properly configured to avoid double taxation or underpayment issues.

The takeaway

The responsibility for collecting and remitting sales tax on third-party delivery orders in Missouri typically remains with the restaurant, not the delivery platform. Misunderstanding this can lead to costly mistakes that impact a restaurant's profitability. Maintaining full visibility and control over financial data is essential for restaurants to stay compliant and protect their bottom line.