Spotlight on Mississippi: New and Increased Tax Incentives


Governor Phil Bryant recently signed into law two pieces of legislation aimed at increasing investment within the State of Mississippi.

The Strengthening Mississippi Academic Research Through Business ("SMART Business") Act (HB 826) takes effect July 1, 2013, and provides a rebate of up to 25 percent of a taxpayer's investments in qualified research costs at colleges and universities within Mississippi.  Investors seeking to take advantage of this new incentive are required to submit an application to the Board of Trustees of State Institutions of Higher Learning.  Each claim for a rebate pursuant to this Act is limited to $1 million , and the aggregate amount of rebates authorized to be approved in any given year is capped at $5 million.

The second new piece of legislation (SB 2462) is effective as of April 12, 2013, and provides an expansion of benefits under Mississippi's current motion picture incentive.  Some of the more important changes to the incentive include:

  1. an increase in the total amount of rebates authorized for a single motion picture from $8 million to $10 million;
  2. an additional 5 percent (30 percent total) payroll rebate for salaries paid to Mississippi taxpayers who have been honorably discharged from military service;
  3. an adjustment to the deadline for submitting applications for payroll rebates to July 1, 2016; and
  4. an expansion of the activities eligible to receive motion picture incentives to include computer and video game production carried on within the state.

These new laws come at a time when states are aggressively competing to attract new investment. 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Baker Donelson | Attorney Advertising

Written by:


Baker Donelson on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.