MS SB2741

Clarifies that the income tax credit for ad valorem taxes paid on inventory shall equal the amount of ad valorem taxes actually paid for taxable years 2016 and thereafter.

Limits the annual tax credit used in any taxable year to not exceed the amount of income taxes due to Mississippi that are attributable to the specific location where the inventory is found.

Allows unused tax credits to be carried forward for five consecutive years from the close of the tax year in which the credit was earned.

Applies to manufacturers, distributors, wholesale or retail merchants who pay ad valorem taxes on commodities, raw materials, works-in-process, products, goods, wares and merchandise held for resale.

Takes effect January 1, 2018.