May 23, 2008

Property Taxes – 120 mils on 10% of the assessed value of the land. That is .12% of assessed value of the land for annual property taxes. This is the total for Stone County and the State of Mississippi. There currently are no city taxes. Property taxes are extremely low in Mississippi.

State Sales Tax 7%

Stone County Sales Tax 2%

Total Sales Tax 9%

Mississippi has three state income tax rates: 3 percent, 4 percent and 5 percent. These rates are the same for individuals, all filing statuses, as well as for businesses.

Personal income tax Mississippi collects income taxes from its residents utilizing three tax brackets.For single taxpayers: – 3 percent on the first $5,000 of taxable income. – 4 percent on taxable income between $5,001 and $10,000. – 5 percent on taxable income of $10,001 and above.Married couples filing a combined return (i.e., both spouses work) can opt to have each spouse calculate tax liability separately and add the results. Residents should file tax returns by April 15 or the next business day if that date falls on a weekend or holiday. Sales tax The retail sales and use tax rate in Mississippi is 7 percent. Additional local sales taxes also are collected. Personal and real property taxes For purposes of assessment for ad valorem taxes, taxable property is divided into five classes and is assessed at a percentage of its true value as follows: Class I — Single-family owner-occupied, residential real property: 10 percent. Class II — All other real property: 15 percent. Class III — Personal property: 15 percent. Class IV — Public service property assessed by the state or county: 30 percent. Class V — Motor vehicles: 30 percent. Homestead exemptions are available on the first $7,500 of assessed value. The actual amount of exempted tax dollars is limited to $300. An application should be submitted through the State Tax Commission, Homestead Exemption Division. Inheritance and estate taxes Mississippi has no inheritance tax. Since the state’s tax was linked to the federal estate tax that is being phased out, Mississippi no longer collects an estate tax. Other Mississippi tax facts Most intangibles are exempt. However, Mississippi levies an intangible tax on notes with usurious (excessively high) interest. Mississippi taxpayers can find out the status of their refunds by using the Department of Revenue’s online tracking system. Mississippi gaming establishments withhold for the state treasury 3 percent of amounts won by lucky gamblers.

For more information, call the Mississippi State Tax Commission at (601) 923-7089 or visit its Web site. New resident information can be found at the Mississippi Treasury Department’s Web site.

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