/Mississippi lawmakers pass largest tax cut in state history

Mississippi lawmakers pass largest tax cut in state history

Now, House Bill 531 goes to Governor. Tate Reeves is likely to reluctantly sign the House Bill 531 into law. However, he has been insistent that lawmakers eliminate, and not just reduce, the state personal income taxes. Republican Lt. Governor said, “Moving towards a flat four per cent income tax puts more than 500 million in recurring dollars back into taxpayers’ pockets. It makes Mississippi one the most competitive in terms of income taxes rates.” Delbert Hosemann. Hosemann has been a staunch opponent of Philip Gunn, Republican House Speaker,’s attempt to eliminate the income tax and raise sales taxes for the past two years. Senate Republican leaders Hosemann and Senator Gunn both stated that they want more prudent, well-studied tax cuts than overhauling the tax structure in uncertain economic times. Gunn said he will continue to push income tax elimination but that Sunday’s cuts are “a key step.” Sunday’s legislation includes language that says the plan will be reviewed by 2026, with an eye towards personal income tax elimination. On Sunday, the Senate approved the measure 39-10. Five Democrats joined the Republican majority. The measure was passed by the House 92 to 23. The measure was passed by the House 92-23. 23 of the 42 Democrats present voted against the measure, while seven voted absent or did not vote. Three independent House members voted in favor of the proposal. The measure, which had dominated previous state legislative sessions, was passed quietly and quickly Sunday. It was passed by the House in three minutes, with no questions from the floor. There was also a round of applause following the vote. Trey Lamar (R-Senatobia), House Ways and Means Chair, stated that this would be the biggest tax cut in the state’s history. It puts us on the path to eliminating the Mississippi individual income taxes within a reasonable period of time.” Some Democrats in the Senate echoed their concerns about large tax cuts. Senator Minority Leader Derrick Simmons (D-Greenville) questioned why no proposals to reduce the state sales tax on groceries – which was previously part of both the House and Senate tax cuts plans – were on the table. Josh Harkins (R-Flowood), Senate Finance Chairman, stated that the decision was to concentrate on working people and give them money back on their income taxes. “… This affects every Mississippian, regardless of whether you’re a teacher, a gardener, or someone who cuts grass every day. Harkins assured colleagues that cuts to the state budget would not cause a financial crisis and result in cuts to services like education and road repairs. Harkins stated, “We have record revenues coming in, but we are giving the taxpayers part of it back.” “We are still providing a record teacher pay increase and making investments where needed.” Harkins said that Sen. David Jordan (D-Greenwood) told Harkins, “Allright, I’ll take you at your words on that.” But he later voted against it. Gov. Gov. Reeves posted on social media over the weekend that he believed they could and should abolish the income tax. The fiscal environment is correct. Unfortunately, the political climate in the MS Senate has not been transformed. We need our state’s Lieutenant Governor, to work with bold conservatives. But, the governor said that this was a positive step. This is a victory at the start of this fight. It is not the end.” To support this important work, make a regular donation to our Spring Member Drive today.