MS HB666

Amends Mississippi Code Section 27-7-5 to phase out the state income tax on resident corporations over a four-year period beginning in calendar year 2012.

Reduces corporate income tax rates annually: 2012 rates range from 2.4%-4%, 2013 rates from 1.8%-3%, 2014 rates from 1.2%-2%, and 2015 rates from 0.6%-1%, applied to three income brackets ($0-$5,000, $5,000-$10,000, and over $10,000).

Eliminates all income tax on resident corporations effective January 1, 2016, with no tax imposed thereafter.

S corporations remain exempt from income tax under existing law.

Requires a pro-rata allocation method for corporations with fiscal years that span two calendar years during the phase-out period.