Free Tool
Mississippi Tax Refund Calculator
Use this free calculator to estimate your Mississippi state tax refund for the 2025-2026 tax year. Mississippi uses a progressive income tax system with rates from 0-5%. Enter your income, filing status, and deductions below to see your estimated refund or balance due.
This calculator uses official Mississippi Department of Revenue tax tables and standard deduction amounts for the 2026 tax year. Results are estimates and should be verified with a tax professional.
Mississippi State Tax Calculator 2025-2026
Mississippi Tax System Details
Mississippi operates a progressive income tax system with 3 tax brackets. Tax rates range from 0-5%, applying to all taxable income earned by Mississippi residents. The state standard deduction for 2026 is $2,300 for single filers and $4,600 for married filing jointly.
How Mississippi Compares to Other States
Mississippi's 4.7% rate is competitive in the South. Tennessee has no income tax, Arkansas has a similar 4.7% top rate, Alabama's top rate is 5%, and Louisiana's is 4.25%. Mississippi is gradually eliminating its income tax entirely. The $5,000 tax-free threshold provides relief for lower-income workers.
A single filer earning $50,000 would pay approximately $1,565 in Mississippi state tax. The planned phase-out will eventually eliminate state income tax.
Deductions and Credits Available in Mississippi
Mississippi offers a $6,000 personal exemption per taxpayer and dependent, a child care credit (50% of federal for lower-income filers), and a retirement income exclusion of up to $50,000 for those 65+. Social Security benefits are fully exempt. The state also provides a homestead exemption for property taxes.
For federal tax purposes, Mississippi residents can deduct their state income tax payments on their federal return if they itemize deductions, subject to the $40,000 SALT cap.
Sales Tax in Mississippi
Mississippi's state sales tax rate is 7% on most goods. Groceries are taxed at full rate though being phased down. Property taxes are among the lowest in the nation, averaging about 0.60% of home value.
Mississippi Income Tax Overview
This state uses a flat income tax — all taxable income is taxed at the same percentage regardless of how much you earn. This simplicity means your state tax calculation is straightforward — multiply your taxable income by the flat rate. The standard deduction is $2,300 single / $4,600 married, which directly reduces the amount of income subject to tax. Practical tip: the effective rate you actually pay is usually far lower than the top marginal rate. For typical middle-income earners, the effective state tax rate lands well below the headline rate.
The standard deduction directly reduces your taxable income before the flat rate is applied. The state sales tax rate is 7% (avg combined 7.1%), which applies to most goods and some services depending on local laws. Property taxes in Mississippi average approximately 0.64% of home value. For context, the national average property tax rate is roughly 1.1%. Residents should check their city and county rates, as local add-ons can significantly increase the combined sales tax rate above the state base rate.
Compared to neighboring states — Alabama (2-5%), Tennessee (none), Arkansas (2-4.7%), Louisiana (1.85-4.25%) — Mississippi offers a distinct balance of rates, deductions, and available credits that can significantly impact your total tax burden. For retirement income: SS exempt, most pensions fully taxable. Mississippi has a 7% state sales tax rate on most goods. Mississippi offers various credits including potential property tax relief, earned income tax credits, and retirement income deductions depending on eligibility. The annual filing deadline for state income tax returns is April 15, matching the federal deadline. Taxpayers who cannot file by the deadline can request an automatic six-month extension, though any tax owed must still be paid by April 15 to avoid interest and penalty charges. Self-employed individuals, recent movers, and retirees with complex income sources should consult a qualified tax professional for personalized guidance.
Frequently Asked Questions About Mississippi Taxes
What is the Mississippi state income tax rate structure?
Mississippi uses Phasing to flat 4.7% system. This rate structure determines how much state tax you owe based on your taxable income after subtracting the standard deduction of $2,300 single / $4,600 married. Understanding where your income falls within this structure is the first step in estimating your state tax liability. Taxpayers should verify current year rates with the state department of revenue, as legislative changes can affect brackets and rates from year to year.
Does Mississippi tax Social Security and retirement income?
SS exempt, most pensions fully taxable. Social Security benefits are generally treated favorably across most states, and Mississippi follows this approach. However, federal taxation of Social Security may still apply based on your combined income level. Retirees should also consider how Mississippi handles pension income, 401(k) withdrawals, and IRA distributions when planning their retirement budget, as state-level treatment varies significantly across the country.
What are the sales and property tax rates in
The Mississippi state sales tax rate is 7% (avg combined 7.1%). Combined state and local rates can vary by city and county. Property taxes average approximately 0.64% of home value. Mississippi has a 7% state sales tax rate on most goods. Taxpayers should consider these consumption-based and property-based taxes when evaluating their overall tax burden, as they can significantly affect the true cost of living in Mississippi compared to other states with different tax structures.