MS SB3102

Amends the election process for partnerships, S corporations, and pass-through entities to be taxed at the entity level, allowing elections to follow the entity's governing documents or, if no such provisions exist, requiring approval by owners holding more than 50% voting control plus governing body approval if applicable

Requires owners, members, partners, or shareholders of electing pass-through entities to include their pro rata or distributive share of entity income when computing their individual income tax liability

Provides individual taxpayers a credit equal to their pro rata or distributive share of tax due by the electing pass-through entity before any entity-level credits are applied

Allows refunds or credits to owners, members, partners, or shareholders when their credit exceeds their income tax liability

Effective January 1, 2023, with the election framework applicable for calendar year 2022 and thereafter