Mississippi tax cut deal: $415 million in cuts over 12 years

WJTV File Photo

JACKSON, Miss. (AP) – Mississippi lawmakers want to phase in $415 million in tax cuts over the next 12 years.

House and Senate negotiators filed an agreement just before midnight Sunday on Senate Bill 2858 (http://bit.ly/1VxVt6Q).

The agreement would phase out Mississippi’s $260-million-a-year corporate franchise tax, a long-held goal of manufacturers, bankers and other business groups. It would also cut $145 million in income taxes, raising the threshold for paying state income taxes to $10,000. Anyone making that much would get a $150 tax cut.

Both those reductions would begin in 2018.

Starting this year, Mississippi would lower its taxes on self-employment, cutting $3.4 million out of the budget beginning July 1 and $10.2 million over three years.

Lt. Gov. Tate Reeves has pushed heavily for tax cuts, despite declining state revenues.

(Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s