Mississippi tax deductions and write-offs (2026)
Federal write-offs work the same in every state. These cards cover what changes when you live or work in Mississippi: state taxes you can deduct on your federal return and the breaks Mississippi gives on its own return.
Browse all write-offs with Mississippi selectedRetirement & HSA
- Military retirement pay in Mississippi
No. Mississippi fully exempts military retired pay, along with qualified retirement income, from state income tax. Other retirement income: Qualified retirement income from federal, state, and private pension plans, 401(k)s, and IRAs is exempt if plan requirements are met. Early (premature) distributions are taxable.
- Retirement income in Mississippi
No. Qualified retirement income from federal, state, and private pension plans, 401(k)s, and IRAs is exempt if plan requirements are met. Early (premature) distributions are taxable.
- Social Security benefits in Mississippi
No. Mississippi does not tax Social Security benefits, even the portion taxed federally.
Filing, credits & withholding
- Earned income credit in Mississippi
No: Mississippi doesn't offer a state earned income credit. No state EITC as of tax year 2026. Bills for a 5–20% refundable credit were introduced but not enacted. A related break for older or lower-income homeowners: Owners 65+ or totally disabled pay no property tax on the first $7,500 of assessed value (about $75,000 of home value).
- Sales tax deduction in Mississippi
Only instead of income tax: itemizers in Mississippi pick sales tax (7% state rate, about 7.06% with local taxes) or state income tax, whichever is bigger. Groceries (SNAP-eligible food) are taxed at a reduced 5% since July 1, 2025 (down from 7%); prepared and hot food stays at 7%.
Home & mortgage
- Mississippi property taxes
Yes on your federal return if you itemize, within the $40,400 SALT cap. Mississippi adds its own break: owners 65+ or totally disabled pay no property tax on the first $7,500 of assessed value (about $75,000 of home value).
- Renters credit in Mississippi
No: Mississippi doesn't offer a renter's credit or rent rebate. Mississippi has no state tax credit, deduction, or rebate specifically for renters. Mississippi's homestead exemption, including the additional exemption for those 65+ or disabled, applies only to homeowners. Renters who itemize federally can deduct sales tax (7% state rate, about 7.06% with local) or Mississippi income tax, whichever is bigger.
Taxes, fees & legal
- Car registration fees in Mississippi
Partly: Mississippi's motor vehicle ad valorem tax is based on your vehicle's value, so it's deductible as personal property tax if you itemize. Assessed value is 30% of depreciated MSRP times the local millage; a state Legislative Tag Credit reduces the bill.
- Mississippi state income tax
Mississippi taxes income over $10,000 at a flat 4% for 2026 and doesn't tax Social Security, pensions, or IRA withdrawals for retirees.
Education & student loans
- 529 contributions in Mississippi
Yes on your Mississippi return: $10,000 single / $20,000 joint per return. Only contributions to the state's own plan count. MACS plan only; contributions made by April 15 may be deducted for the prior year; deducted principal recaptured if withdrawn nonqualified.
Kids & dependents
- Child tax credit in Mississippi
No: Mississippi doesn't offer a state child tax credit. No child tax credit or care credit for individuals. Dependent exemption is $1,500.
Permits & licenses
- LLC fees in Mississippi
Yes, as a business expense: Mississippi charges $50 to form an LLC; ongoing: $0 annual report. Filed online; due April 15.
Federal write-offs for Mississippi residents
BizWriteOffs provides educational information only and is not tax, legal, or accounting advice. Deductibility depends on your specific facts and records. Consult a qualified tax professional.