About Corporate Income Tax
All corporations engaged in business activities in Mississippi are taxed on net taxable income derived from those activities as follows:

• First $5,000 - 3%
• Next $5,000 - 4%
• Over $10,000 - 5%

Multi-State Corporations
In the case of multi-state manufacturing corporations, net business income from manufacturing which cannot be directly assigned to the Mississippi operation is apportioned to the State on the basis of a three-factor formulas:

• Ratio of property (book value) in Mississippi versus total property
• Ratio of payroll in Mississippi compared to total payroll
• Ratio of sales attributable to Mississippi compared to total sales. Additional non-business income is added to the apportioned income

Mississippi allows a net operating loss to be carried over for the five years following the taxable year of such loss. The State, however, does not allow deductions of federal income taxes. There is no county or municipal income tax in Mississippi.

More Information
For more information, contact the DeSoto County Economic Development Council.