Mississippi Tax Policy & Rates 2026
Income tax, sales tax, property tax, and overall tax burden for Mississippi in 2026, with political context.
No
No Income Tax
4.7% (transitioning to 0%)
Income Tax Rate
#47
Tax Burden Rank (1=highest)
#45
Property Tax Rank (1=highest)
Tax Policy Overview
Mississippi is phasing out its income tax entirely, with a goal of reaching 0% by 2030. Passed in 2022, this would make Mississippi the first Deep South state with no income tax. The state has low overall tax burden given its low income levels and property values.
Key Tax Rates
| Tax Type | Rate / Status |
|---|---|
| Income Tax | 4.7% (transitioning to 0%) |
| No Income Tax | No |
| Sales Tax | 7.0% |
| No Sales Tax | No |
| Corporate Tax | 4.0% |
| Property Tax Rank | #45 nationally (1=highest) |
| Overall Tax Burden Rank | #47 nationally (1=highest) |
Political Context
Mississippi Republicans passed income tax elimination in 2022, part of a national Republican push toward no-income-tax states. Critics argue the state cannot afford to eliminate the income tax without devastating public services. Revenue replacement through higher sales taxes would be regressive. The timeline and triggers are contested.