MS HB1988

Increases maximum aggregate tax credits under Section 27-7-22.41 (charitable contributions) from $18 million to $48 million annually beginning calendar year 2025, with an additional $6 million in credits for calendar year 2024 specifically for educational services charitable organizations.

Allows taxpayers allocated a tax credit during a calendar year to use the credit against income and insurance premium taxes for the immediately preceding taxable year if no return has been filed, and gives priority to taxpayers who applied in January 2024 but were unable to receive credits due to the annual limit.

Reduces the maximum percentage of tax credits that may be allocated to a single educational services charitable organization from 4.5% to 3% starting calendar year 2025.

Brings forward 31 sections of Mississippi tax code authorizing various business and economic development tax credits for potential amendment, including credits for enterprise zones, job creation, manufacturing investment, broadband deployment, and small business investment companies.