Incentives for Expansion
Choctaw County Tax Advantages for Existing Businesses
Choctaw County is classified as a Tier Three County (view map), meaning businesses creating jobs in Choctaw County are eligible for the highest level of financial advantages from the state of Mississippi.
- No sales tax for direct purchase of construction materials, machinery or equipment for qualified businesses (learn more about the Sales and Use Tax Exemption)
- Rebates for a percentage of the Mississippi payroll for the creation of new jobs for qualified businesses (learn more about the Advantage Jobs Incentive Program)
- Tax credit of 10% of payroll for creation of 10 or more new jobs for qualifying businesses (learn more about the Jobs Tax Credit)
State Financial Incentives for Expansion of Existing Mississippi Businesses
Mississippi has a variety of incentives including grants, loans, tax credits, and other programs for existing businesses expanding their facilities or workforce. The following is a selected list of programs. For a full listing, visit the Mississippi Development Authority’s website.
Summary of Some of the Business Benefits from Mississippi Tax Advantages
Sales Tax Benefits
- No sales tax on raw materials, chemicals for processing, or materials for packaging
- Low 1.5% sales tax on industrial electricity, natural gas, and other fuels
- Low 1.5% sales tax for manufacturers on machinery and parts
State Income Tax Credits
- $1,000 for each new research and development job for a period of five years
- 50% of child care expenses (Child Dependent Care Credit)
- 50% of basic skills training and job retraining expenses
- Tax credits for certain bonds issued through the Mississippi Business Finance Corporation for qualified businesses
Property Tax Exemptions
- Exemptions from county property taxes are available for qualified businesses, with the exception of school taxes
- Exemptions of property taxes on finished goods are available through a Free Port Warehouse Law for qualified industries
Loans and Bonds for Existing Mississippi Businesses (Selected List)
The following is a selected list of programs. For a full listing, visit the Mississippi Development Authority’s website.
| Name of Program | Benefits | Terms and Qualifications | More information |
|---|---|---|---|
| Existing Industry Productivity Loan Program | Up to a 10-year loan, maximum $500,000 per project | For manufacturers that have operated in the state for at least 2 years. Manufacturer must match grant | Designed to help industries retain jobs and improve productivity and competitiveness. Business can not reduce the number of jobs by more than 20%. View full program details |
| Industrial Development Revenue Bond Program (IRB) | Reduces interest costs | Eligible companies may receive corporate income tax credits, sales tax exemptions, and ad valorem exemptions. | View eligibility requirements |
| Mississippi Rural Economic Development Assistance Programs (RED) | Corporate income tax credits and ad valorem exemptions | Used in conjunction with IRB | View details and terms |
| Mississippi Small Enterprise Development Finance Program (SED) | Tax-exempt financing | Used in conjunction with IRB | View terms and details |
Tax Credits for Existing Mississippi Businesses (Selected List)
The following is a selected list of programs. For a full listing, visit the Mississippi Development Authority’s website.
| Name of Program | Credit Amount | Applies To | Qualifications |
|---|---|---|---|
| Industrial Property Tax Exemption | Up to a 10-year exemption on real and tangible personal proeprty | Property tax | Does not include exemption on school taxes. View eligible industries and full program details. |
| Jobs Tax Credit | 10% of eligible payroll each year for 5 years | Payroll taxes | At least 10 jobs must be created. View a list of eligible businesses and full program details. |
| Sales and Use Tax Exemption for Construction or Expansion | Applies to 7% sales tax on construction materials, equipment, and other assets for the project. Applies to 1.5% sales tax on manufacturing machinery | Sales and use tax | View full program details. |
