MS HB1554

Includes carbon dioxide within the definition of "gas" subject to the 6% gas severance tax in Mississippi, removing the previous exemption for carbon dioxide.

Removes the exemption for gas lawfully injected into the earth for cycling, repressuring, lifting, or enhancing the recovery of oil, making such gas subject to gas severance tax.

Authorizes a credit against the 6% oil severance tax for oil produced using enhanced oil recovery methods with carbon dioxide, equal to the amount of gas severance tax paid on the carbon dioxide used.

Reduces the oil severance tax rate to 3% for oil produced by enhanced oil recovery methods using carbon dioxide when such carbon dioxide is transported by pipeline to the well site.

Becomes effective July 1, 2014.