re: Bill would eliminate Mississippi state income tax. Here’s what you need to know.

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I’m a fan of removing the income tax. Remove the tax for producing. Shift it to tax what you are consuming. Nobody should be penalized for a hard days work.

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Consumption taxes are regressive for lower income earners. I am not sure removing state income tax and adding sales taxes helps higher income earners who have to pay over the threshold too.

In Texas we have no state income tax but get hit hard on property taxes and to some degree a higher non grocery sales tax. The non property owning citizens make out best.

That being said... I lived in Illinois for 8 years and got killed on both property and income tax by state and local govt. I aint fussing.

This looks like a revenue collection shift by Miss. Not sure who benefits and who pays more. The state damned sure isn't going to operate on less revenue. Someone is paying more.

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Curious as to what their issues are. One of the most frustrating things about legislation is no one ever attaches their names to specific portions of bills and no one ever gives a specific reason behind why they voted it down.

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Word is it has passed the house but is DOA in the Senate. There are multiple reasons as to why, but ultimately it boils down to timing imo. To many things the Senate has done in the past year or two and are currently dealing with where the optics of a massive tax cut would be bad considering the state income tax makes up 1/3 of the State's general fund.

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The lower class needs to pay more in taxes as they are the number one drivers of the need for jails, courts, handouts, etc.

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Perhaps part of the problem is the systems that keep people impoverished?

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Perhaps part of the problem is the systems that keep people impoverished?

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So now sales taxes are racist and oppressive? Even though literally everyone pays it?

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I agree. As soon as you don't pay, they take your land. So was it ever really yours in the first place?

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It is not. You can never truly own property in most parts of this country. You can never retire "debt free" since you have to pay the government for the privilege of living in your own home.

I wonder why the "GREAT" Bobby Jindal with a Republican controlled legislature didn't bring thid type of tax reform to Louisiana, when he had 8 years to do so. He was hailed as such an intelligent man. Lol

Over 90% of taxpayers in Louisiana pay less than 4% in state income taxes. Plenty of deductions and exemptions are available. My wife and I had household income around $146,000 and we paid less than 2% in LA state income taxes for 2020 tax year.

Make sure you all read the part below the bullet points:

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The legislation would eliminate the state’s personal income tax starting in 2022 for:

•Individuals making up to $47,700
•Couples making up to $95,400
•Head-of-family individuals making up to $46,600

These exempt income levels would increase each year, assuming the state is bringing in enough revenue. That calculation would be done annually by the state Commissioner of Revenue, until the state income tax is phased out. The full phase-out could occur as soon as a decade from now, if revenue growth stays steady.

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Sounds like the bill calls to phase out income tax for all tax brackets eventually.

If one were wealthy, what changes might be expected for inheritance tax deductions?

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•Increasing the sales tax on most goods to 9.5%, up from 7%.

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Damn, does Mississippi not have local sales tax?

Louisiana's sales tax rate is 4.45% with an average local sales tax of 5%.