MS HB1588

Amends Mississippi income tax law to require recognition of gain on sales of interests in financial institutions, domestic corporations, domestic limited partnerships, and domestic limited liability companies domiciled in Mississippi.

Modifies the definition of gross income to include dividend income that has already been taxed as dividend income when the dividends can be specifically identified by the recipient.

Adds restrictions on deductibility of intangible expenses and interest expenses paid to related members, requiring taxpayers to add back such costs unless they meet specific exceptions related to valid business purposes or non-related party transactions.

Requires corporations and entities undergoing restructuring, reorganization, or asset redistribution involving Mississippi assets to report gains in the year the transaction occurs, with adjustments for changes in asset valuation or income transfers.

Effective January 1, 2010.