Friday, February 24, 2023

MS tax relief bills appear dead

JACKSON, Miss. - Tax relief proposals favored by Mississippi Gov. Tate Reeves and Republican legislators stalled Feb. 22 and appears dead for the election-year legislative session despite the GOP holding a supermajority in both houses. Even with the backing of Reeves, several proposals failed to gain enough support to come up for a vote in either chamber. Feb. 22 was the deadline for the House/Senate to take first steps toward passing bills dealing with budgets and taxes. If money bills were not voted on before the deadline, they died. Primarily, because a group of lawmakers is concerned about another income tax cut ahead of November's elections. During the 2022 session, legislators enacted a plan to reduce the state income tax over four years, which is scheduled to start this year. In October, Reeves also promised to push for a full elimination. Revenue bills require support from three-fifths of each chamber to pass. Supporters of cutting more income tax have said it would spur economic growth and attract companies to Mississippi. Opponents claim reducing the income tax would mean less money for schools, health care and roads. Mississippi's income tax is the second-largest source of tax revenue, making up nearly 35% of revenue in the general fund. (The AP 02/22/23)

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