Senate Bill 2159

AN ACT TO CREATE THE "MISSISSIPPI FLEXIBLE TAX INCENTIVE ACT"; TO DEFINE TERMS; TO ESTABLISH REQUIREMENTS AND STANDARDS FOR APPLICATION TO THE MISSISSIPPI DEVELOPMENT AUTHORITY FOR CERTIFICATION AND AWARD OF THE MISSISSIPPI FLEXIBLE TAX INCENTIVE; TO ESTABLISH REQUIREMENTS AND STANDARDS FOR THE CERTIFICATION AND AWARD OF THE MISSISSIPPI FLEXIBLE TAX INCENTIVE BY THE MISSISSIPPI DEVELOPMENT AUTHORITY TO A QUALIFIED BUSINESS OR INDUSTRY FOR A QUALIFIED ECONOMIC DEVELOPMENT PROJECT; TO PRESCRIBE THE MEANS OF CALCULATING AND APPLYING SUCH INCENTIVE; TO PROHIBIT UTILIZATION OF CERTAIN OTHER INCENTIVES IN COMBINATION WITH THE MISSISSIPPI FLEXIBLE TAX INCENTIVE; TO ESTABLISH REQUIREMENTS AND STANDARDS FOR ANNUAL REPORTING BY A QUALIFIED BUSINESS OR INDUSTRY, MODIFICATIONS TO PRIOR TAX INCENTIVE AWARDS BY THE MISSISSIPPI DEVELOPMENT AUTHORITY AND DEADLINES FOR THE UTILIZATION OF SUCH INCENTIVE; TO AUTHORIZE AUDITS BY THE MISSISSIPPI DEPARTMENT OF REVENUE AND SHARING OF CERTAIN INFORMATION ABOUT CERTAIN INCENTIVE AWARDEES BETWEEN STATE AGENCIES; TO CLARIFY THAT THE MISSISSIPPI DEVELOPMENT AUTHORITY IS GRANTED EXCLUSIVE JURISDICTION TO CERTIFY, AWARD AND MAKE ANY ADJUSTMENTS TO A MISSISSIPPI FLEXIBLE TAX INCENTIVE FOR A QUALIFIED BUSINESS OR INDUSTRY; TO AUTHORIZE THE MISSISSIPPI DEVELOPMENT AUTHORITY AND THE MISSISSIPPI DEPARTMENT OF REVENUE TO PROMULGATE RULES AND REGULATIONS NECESSARY TO IMPLEMENT THIS ACT; TO AMEND SECTION 27-7-309, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE APPLICATION OF A MISSISSIPPI FLEXIBLE TAX INCENTIVE AS A CREDIT TO OFFSET WITHHOLDING TAX LIABILITY; TO AMEND SECTION 27-7-311, MISSISSIPPI CODE OF 1972, TO EXCLUDE ANY MISSISSIPPI FLEXIBLE TAX INCENTIVE APPLIED AS A CREDIT TO OFFSET STATE INCOME TAX LIABILITY FROM THE ANNUAL STATEMENT REQUIRED TO BE FILED WITH THE COMMISSIONER OF REVENUE FOR AN EMPLOYEE; TO AMEND SECTION 27-13-5, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE APPLICATION OF A MISSISSIPPI FLEXIBLE TAX INCENTIVE AS A CREDIT TO OFFSET FRANCHISE TAX LIABILITY OF MISSISSIPPI CORPORATIONS; TO AMEND SECTION 27-13-7, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE APPLICATION OF A MISSISSIPPI FLEXIBLE TAX INCENTIVE AS A CREDIT TO OFFSET FRANCHISE TAX LIABILITY OF FOREIGN CORPORATIONS; TO AMEND SECTION 27-65-93, MISSISSIPPI CODE OF 1972, TO REQUIRE THE DEPARTMENT OF REVENUE TO ISSUE A DIRECT PAY PERMIT TO A QUALIFIED BUSINESS OR INDUSTRY THAT IS AWARDED A MISSISSIPPI FLEXIBLE TAX INCENTIVE BY THE MISSISSIPPI DEVELOPMENT AUTHORITY; TO AMEND SECTION 27-67-17, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE APPLICATION OF A MISSISSIPPI FLEXIBLE TAX INCENTIVE AS A CREDIT TO OFFSET STATE USE TAX LIABILITY; TO AMEND SECTION 57-1-14, MISSISSIPPI CODE OF 1972, TO DELAY OR PRECLUDE CERTAIN INFORMATION PROVIDED IN APPLICATIONS AND ANNUAL REPORTS FOR THE MISSISSIPPI FLEXIBLE TAX INCENTIVE FROM DISCLOSURE PURSUANT TO THE MISSISSIPPI PUBLIC RECORDS ACT OF 1983; TO AMEND SECTION 27-7-22, MISSISSIPPI CODE OF 1972, TO ALLOW AN INCOME TAX CREDIT FOR ANY QUALIFIED BUSINESS OR INDUSTRY WHICH IS CERTIFIED AS SUCH BY THE MISSISSIPPI BOARD OF ECONOMIC DEVELOPMENT UNDER THE MISSISSIPPI FLEXIBLE TAX INCENTIVE ACT AND AWARDED A TAX INCENTIVE UNDER THE ACT FOR A QUALIFIED ECONOMIC DEVELOPMENT PROJECT; TO PROVIDE THAT FROM AND AFTER JANUARY 1, 2023, IF THE AMOUNT OF ANY MFLEX TAX INCENTIVE OR OTHER INCENTIVE THAT A QUALIFIED BUSINESS OR OTHER ENTITY IS ELIGIBLE TO RECEIVE UNDER THE MISSISSIPPI FLEXIBLE TAX INCENTIVE ACT IS LESS THAN THE AMOUNT OF THE MFLEX TAX INCENTIVE OR OTHER INCENTIVE THAT THE QUALIFIED BUSINESS OR OTHER ENTITY WOULD HAVE BEEN ELIGIBLE TO RECEIVE OR TO USE IF THE MFLEX TAX INCENTIVE OR OTHER INCENTIVE HAD BEEN CALCULATED USING ANY APPLICABLE INCOME TAX RATES IN SECTION 27-7-5 THAT WERE IN EFFECT BEFORE JANUARY 1, 2023, THEN THE QUALIFIED BUSINESS OR OTHER ENTITY SHALL RECEIVE A GRANT FROM THE MISSISSIPPI DEVELOPMENT AUTHORITY EQUAL TO THE DIFFERENCE BETWEEN SUCH TWO AMOUNTS; TO AMEND SECTIONS 57-62-9 AND 57-62-11, MISSISSIPPI CODE OF 1972, WHICH ARE SECTIONS OF THE MISSISSIPPI ADVANTAGE JOBS ACT; TO PROVIDE THAT FROM AND AFTER JANUARY 1, 2023, IF THE AMOUNT OF THE INCENTIVE PAYMENT THAT A QUALIFIED BUSINESS OR INDUSTRY IS ELIGIBLE TO RECEIVE UNDER SUCH ACT IS LESS THAN THE AMOUNT THAT THE INCENTIVE PAYMENT WOULD HAVE BEEN IF THE PAYMENT HAD BEEN CALCULATED USING ANY APPLICABLE INCOME TAX RATES IN SECTION 27-7-5 THAT WERE IN EFFECT BEFORE JANUARY 1, 2023, THEN THE QUALIFIED BUSINESS OR INDUSTRY ALSO SHALL RECEIVE A GRANT EQUAL TO THE DIFFERENCE BETWEEN SUCH TWO AMOUNTS; TO AMEND SECTIONS 57-99-1, 57-99-3 AND 57-99-5, MISSISSIPPI CODE OF 1972, WHICH ARE SECTIONS OF THE MISSISSIPPI MAJOR ECONOMIC IMPACT WITHHOLDING REBATE INCENTIVE PROGRAM, TO PROVIDE THAT FROM AND AFTER JANUARY 1, 2023, IF THE AMOUNT OF THE INCENTIVE PAYMENTS THAT A QUALIFIED BUSINESS OR INDUSTRY IS ELIGIBLE TO RECEIVE UNDER SUCH PROGRAM IS LESS THAN THE AMOUNT THAT THE INCENTIVE PAYMENTS WOULD HAVE BEEN IF THE PAYMENTS HAD BEEN CALCULATED USING ANY APPLICABLE INCOME TAX RATES IN SECTION 27-7-5 THAT WERE IN EFFECT BEFORE JANUARY 1, 2023, THEN THE QUALIFIED BUSINESS OR INDUSTRY ALSO SHALL RECEIVE A GRANT EQUAL TO THE DIFFERENCE BETWEEN SUCH TWO AMOUNTS; AND FOR RELATED PURPOSES.

In the Senate

• David Parker

  Sponsor

• House of Representatives committee amendmentAdopted

  Adopted Mar 15

l9n doesn't hold this bill's text yet.

In the Senate Jan 13 – Feb 3

1. Jan 13Referred to the Senate committees on Finance and on Economic and Workforce Development
2. Feb 1Reported as a committee substitute from FI to EC in the Senate: title sufficient, do pass
3. Reported from committee in the Senate: title sufficient, do pass as a committee substitute
4. Feb 3Committee substitute adopted in the Senate
5. Passed the Senate

In the House of Representatives Feb 7 – Mar 15

1. Feb 7Sent to the House
2. Feb 8Referred to the House committee on Ways and Means
3. Mar 1Reported from committee in the House: title sufficient, do pass as amended
4. Mar 15Amended in the House
5. Passed the House as amended

Back in the Senate Mar 16 – Apr 4

1. Mar 16Returned to the Senate to concur in the House's amendments
2. Mar 17Declined in the Senate to concur, and invited a conference
3. Mar 18Conferees named in the Senate: Harkins, Parker and Kirby
4. Mar 22Conferees named in the House: Lamar, Steverson and Powell
5. Mar 26Conference report filed in the House
6. Conference report filed in the Senate
7. Mar 27Recommitted in the Senate to the conferees for further conference
8. Recommitted in the House to the conferees for further conference
9. Conference report filed in the House
10. Conference report filed in the Senate
11. Mar 28Conference report adopted in the House
12. Conference report adopted in the Senate
13. Apr 4Enrolled bill signed in the Senate

To the Governor Apr 4 – Apr 18

1. Apr 4Enrolled bill signed in the House
2. Apr 18Approved by the Governor