WeVote
Log In

Bill

Bill

HB 228

Income tax; provide a credit for taxpayers who claim a federal earned income tax credit.

2025 Regular Session

Mississippi bill proposing state income tax credit matching federal EITC to increase tax relief for low-to-moderate income working families; died in committee.

Died In Committee
#waysandmeans
0
WeVote Research Nonpartisan
Bill Summary · HB 228

Legislative bill overview

HB 228 would create a state income tax credit for Mississippi taxpayers who claim the federal Earned Income Tax Credit (EITC). The credit would supplement the federal benefit by providing additional state tax relief to low-to-moderate income working individuals and families who qualify for the federal program.

Why is this important

The EITC is one of the largest anti-poverty programs in the United States, benefiting millions of working families. A state credit would increase take-home pay for eligible workers, potentially reducing poverty and income inequality in Mississippi while supporting economic activity among lower-income households. The bill died in committee, meaning this additional relief was not enacted for the 2025 tax year.

Potential points of contention

  • Fiscal cost: The state would need to budget for the credit's cost, which depends on the credit percentage and could strain state revenues during budget constraints
  • Income targeting: Debate over what percentage of the federal EITC to match and whether to phase eligibility based on income levels
  • Implementation complexity: Coordinating with federal tax filings and ensuring accurate administration of a new state tax credit system

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.