MS HB185

Amends Section 27-7-5 to impose state income tax on net income of nonresidents derived from property, activity, or other sources within Mississippi.

Revises the definition of "doing business" in Section 27-7-23 to include 11 activities that establish tax nexus, including regular solicitation of business, issuance of credit cards, performance of services with benefits received in Mississippi, and conduct of transactions involving intangible personal property.

Expands "doing business" definition to encompass regular sales or distribution of products or services to customers receiving them in Mississippi, performance of services outside Mississippi when benefits are received in-state, and franchising or licensing agreements with Mississippi franchisees or licensees.

Establishes that income from services shall be apportioned to the state where the benefits of the services are received.

Effective date: January 1, 2013.