MS HB542

Establishes a one-time income tax credit for investments in qualified clean-burning motor vehicle fuel property, including equipment to convert vehicles to compressed natural gas, liquefied natural gas, liquefied petroleum gas, or propane gas.

Provides a 50% credit for vehicle conversion equipment and factory-equipped alternative fuel vehicles, a 75% credit for commercial fueling infrastructure, and a credit not to exceed $2,500 (or 50% of cost, whichever is less) for residential compressed natural gas fueling systems.

Allows unused credits to be carried forward for up to five succeeding tax years to offset future income tax liability.

Requires conversion equipment to be new, installed by certified alternative fuels technicians, and meet Federal Motor Vehicle Safety Standards or applicable federal/state regulations for commercial vehicles.

Takes effect January 1, 2024 and is codified in Chapter 7, Title 27 of the Mississippi Code.