MS HB4044

Homeowners who fail to comply with Mississippi state income tax laws remain eligible for homestead exemption starting January 1, 2027, but the exemption amount will not be deducted from their property taxes

Tax collectors must remit the non-deducted homestead exemption amount to the Department of Revenue, capped at the taxpayer's or spouse's outstanding income tax obligation

The Department of Revenue will apply funds received from tax collectors directly against the delinquent taxpayer's or spouse's income tax debt

The definition of "tax loss" under homestead exemption law is expanded to include amounts remitted by tax collectors to the Department of Revenue under this new collection mechanism

The bill takes effect July 1, 2026, with the new eligibility provisions applying to exemptions claimed beginning January 1, 2027