Mississippi Legislature Passes Historic Legislation To Phase Out Mississippi’s Income Tax
Today, the legislature took the bold, historic step to eliminate our state’s income tax. With the passage of House Bill 1, the end of Mississippi’s tax on work is finally in sight!
One of Empower’s top priorities is promoting a culture of work and opportunity in the Magnolia State. In fact, we highlighted in a report earlier this year the responsible elimination of the state’s income tax as our first recommendation to improve Mississippi’s labor force participation rate. House Bill 1 represents a future where work is celebrated and taxpayers keep more of what they earn.
House Bill 1 includes economic triggers that only allow a total phasing out of the income tax if revenue growth reaches certain levels. This is a responsible approach designed to ensure that state spending does not exceed collected revenue.
The bill is currently being held on a procedural motion in the House, which could potentially allow further changes to the bill. Though plenty of possible amendments are swirling, we urge the House to dispose of that motion quickly and send the bill on to the Governor for his signature. The legislature will have opportunities to make changes to this law in the future, but today marks a monumental moment in our state’s history.
We applaud legislative leaders for their commitment to fostering an environment where both hard-working Mississippians and job creators can thrive. Today, we celebrate this milestone accomplishment and look forward to the day it is signed into law!
