MS HB1535

Allows taxpayers who received qualified Gulf oil spill payments totaling at least 200% of their average annual gross income for the previous three years to spread the income over three tax years instead of reporting it all in 2010.

One-third of qualified Gulf oil spill payments are included in gross income for the 2010 taxable year, one-third for the 2011 taxable year, and the remainder for the 2012 taxable year.

Defines "qualified Gulf oil spill payment" as compensation for cleanup or mitigation work related to the Deepwater Horizon oil spill, paid by BP, the federal government, or entities acting on their behalf.

Defines "Gulf oil spill" as the discharge of oil from the explosion and sinking of the mobile offshore drilling unit Deepwater Horizon.