Need to Know Tax › Mississippi
Mississippi · 2027 and beyond
Mississippi in 2027 and beyond: what is already law, and what is still open
No measure on the ballot. The rate is 4.0% for 2026 and 3.75% for 2027, on the way to 3.0% in 2030. What is on the 2026 return, what starts with tax year 2027, and what is scheduled or conditional after that.
By Charles Trautman, EA, editor
Need to Know Tax · written from Mississippi Department of Revenue sources and the unofficial November 3 election returns, November 12, 2026 · not yet reviewed by a Mississippi practitioner
No measure on the ballot. The rate is 4.0% for 2026 and 3.75% for 2027, on the way to 3.0% in 2030. This page keeps apart three things that get mixed together in the news: what is on the 2026 return you file in early 2027, what begins with tax year 2027, and what is scheduled, conditional or still undecided after that. Election figures are the unofficial November 3, 2026 returns and are not final until the state certifies them.
What the voters decided on November 3, 2026
No statewide tax measure was on the November 3, 2026 ballot in Mississippi. Nothing voted on that day changes a Mississippi return.
This return, next year, and later
| When | What applies |
|---|---|
| The 2026 return, filed in early 2027 | The rate on taxable income over $10,000 is 4.0%, down from 4.4%; the first $10,000 is taxed at zero. |
| Retirement income remains fully exempt. | |
| The federal deductions never reach the return, because Mississippi builds income from scratch. | |
| Starting with tax year 2027 | The rate falls to 3.75% (HB 1 of 2025). |
| The gasoline tax rises to 27 cents a gallon on July 1, 2027. | |
| Veterans 85 and older qualify for the full homestead exemption, down from 90. | |
| 2028 and later, or conditional | 3.5% for 2028, 3.25% for 2029 and 3.0% for 2030. |
| From 2031 the rate falls further in any year the rainy-day fund is full and collections beat appropriations by a set margin, with elimination possible. |
Items under 2027 and later do not change the 2026 return. They matter for 2027 withholding, estimated payments and planning. The detail behind each line is in the other Mississippi articles.
The 2025 federal law and the Mississippi return
Mississippi does not begin its return with a federal figure, which settles nearly every conformity question. It has its own permanent 100% bonus depreciation.
That is the reason a change on the federal return, such as the deductions for tips, overtime and people 65 and older, may or may not show up on the Mississippi return. The federal side is in The new deductions for tips, overtime and seniors.
What to watch
Whether a future Legislature revises the post-2030 trigger, which is easy to meet as written. When something on this page changes, the change is logged on the updates page with its date.
What to bring
- Your 2026 federal and Mississippi returns, once filed, to set 2027 withholding and estimated payments against them
- Your last pay stub of 2026 and the first of 2027, to see whether withholding changed
- Any notice from the state about a 2027 rate, credit or filing change
Questions people ask
Does anything here change the Mississippi return I file in early 2027?
Only what is listed under the 2026 return. Everything listed under 2027 or later affects withholding, estimated payments and planning, not the return for 2026.
How will I know if this page changes?
Every change is logged on the updates page with its date and the article it affects. State legislatures meet in early 2027 and some act before the filing deadline.
Mississippi, after the election
No measure on the ballot. The rate is 4.0% for 2026 and 3.75% for 2027, on the way to 3.0% in 2030.
Written by Charles Trautman, EA, editor · Need to Know Tax, Lone Tree, Colorado
Questions about this article in Mississippi are answered by [your practice name] · [your phone] · [your email address]. We’re looking for an EA or CPA in each Mississippi city to hold that city’s seat and take this spot — is that you?
An invitation to Mississippi EAs and CPAs
These Mississippi pages were written by the editor from the Mississippi Department of Revenue’s own publications, and they need a Mississippi practitioner’s eye. One enrolled agent or CPA in each Mississippi city holds that city’s seat: reads these pages before the filing season and is credited as a reviewer, is named on every page of their city’s edition, and answers its readers’ questions. $1,000 for the 2026 season, the charter price. Take your city’s seat (a two-minute form and a card), tell us you’re interested, write to editor@needtoknowtax.com, or read how it works.
Sources and where to check
- Mississippi DOR: Individual Income Tax General Information (rate table 2025–2027, posted January 7, 2026)
- Mississippi DOR: 2025 Form 80-100, What’s New (HB 1 rate schedule) and Schedule A $40,000 taxes limit
- Mississippi DOR Notice 72-25-03: 5% sales tax rate on groceries effective July 1, 2025
- Mississippi DOR: Withholding on Mississippi gaming winnings, slot threshold $2,000 from January 1, 2026
- Mississippi DOR news page: updated gaming notice (September 28, 2026) and storm relief notices (August 2026)
- IRS release MS-2026-03: Tropical Storm Arthur relief, deadlines postponed to February 1, 2027
- Bloomberg Tax: Mississippi DOR issues information on 2026 rates, exemptions, deductions (January 7, 2026)
- Magnolia Tribune: 2026 filing season and Mississippi rates (January 9, 2026)