MS SB2978

Creates an income tax credit for Class II and Class III railroads that make qualified expenditures on railroad reconstruction or replacement in Mississippi

Credit equals the lesser of 50% of qualified expenditures or $5,000 multiplied by the number of miles of railroad track owned or leased in Mississippi

Qualified expenditures include maintenance, reconstruction, or replacement of track, roadbed, bridges, industrial leads, sidings, and track-related structures owned or leased as of January 1, 2021, as well as new construction of leads, switches, spurs, and siding extensions

Unused tax credits may be carried forward for five consecutive years and may be transferred to another taxpayer through a written agreement filed with the Department of Revenue within 30 days

Effective date of January 1, 2021