HB 1656 Summary

• Increases income tax exemption for National Guard and Reserve Forces members from $15,000 to $25,000 per year for taxable years 2025 and beyond.

• Creates a $250 annual motor vehicle ad valorem tax credit for service members (active duty, National Guard, Air National Guard, and Reserve members) and their spouses or dependents, limited to one credit per service member regardless of vehicle count.

• Establishes the Mississippi National Guard Tricare Premium Reimbursement Program to award grants reimbursing eligible National Guard members for Tricare Reserve Select health insurance premiums, administered by the Adjutant General.

• Requires the Adjutant General to provide annual legislative reports on program effectiveness, including participant numbers, medical readiness impact, and improvement recommendations.

• Applies to taxable years beginning January 1, 2025, and takes effect July 1, 2025.