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Mississippi House and Senate agree on tax cut deal

posted in: Mississippi News | 0

Today, House and Senate conferees signed a conference report that represents the largest tax cut in Mississippi history.  The agreement still has to go before the full House and Senate for a vote, with the deadline approaching Monday.

The agreement will phase in more than $500-million in tax cuts over the next four years.  It would eliminate the current 4% tax bracket that applies to the first $5-thousand in taxed income in the first year.  Over the next three years, rates that apply to all income over $10-thousand would be reduced to 4% from the current 5%.  At the end of four years, there would be the highest threshold before any taxes are owed.  It would also create a lower, flat rate on all taxable state income.

“If passed and signed into law, the agreement reached between House and Senate leadership would represent the largest tax cut in Mississippi history,” said Empower Mississippi President Russ Latino. “It’s good, responsible, conservative policy. Eliminating the current four percent bracket will provide immediate relief to working families. Creating a simple, lower flat tax will make us more competitive across the region and put money back into the pockets of the people who earned it. We’re hopeful the legislature will seize upon this historic agreement.”

 

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