MS HB552

Expands ad valorem tax credit eligibility to include raw materials and works-in-process inventory in addition to finished goods.

Increases credit cap to $10,000 for 2014 taxable year, then implements a five-year phase-in (2015-2019) allowing taxpayers to claim escalating percentages of ad valorem taxes paid: 20% (2015), 40% (2016), 60% (2017), 80% (2018), and 100% (2019 onward).

Makes the tax credit refundable beginning in 2015, allowing taxpayers to receive state payments for credits exceeding their income tax liability in that year.

Requires taxpayers claiming refundable credits to submit verifiable documentation of ad valorem taxes paid to the Department of Revenue and prohibits double-counting these taxes as deductions.

Effective January 1, 2012.