MS SB2878

Authorizes qualified heavy equipment rental businesses in Mississippi to charge renters a recovery fee of up to 2% of the rental charge on each piece of heavy equipment rented in the state

Recovery fees must be used exclusively to pay or reimburse the rental business for ad valorem (property) taxes levied on their heavy equipment inventory

Excess recovery fees collected beyond annual ad valorem tax obligations may be retained and applied to future years' tax assessments

Fees must be separately stated on invoices and are enforceable to the same extent as rental charges, but do not constitute trust fund monies

Applies to businesses primarily engaged in renting construction, earthmoving, or industrial equipment under rental agreements of 365 days or less, effective July 1, 2026