MS SB2860

Creates a Mississippi state income tax credit equal to 20% of the federal Earned Income Tax Credit (EITC) for taxpayers who claim the federal credit

The credit is fully refundable, meaning taxpayers receive a cash refund from the Department of Revenue for any credit amount exceeding their state income tax liability

Taxpayers must claim the federal EITC on their federal return and provide a copy of that return plus any additional documentation required by the department

Takes effect January 1, 2026