Mississippi · Investment · MS-MFGINV-001
Manufacturing Investment Tax Credit
Publication revised September 24, 2026. Sourcebook page 158.
Credit amount / calculation
5% of eligible manufacturing investment, with at least $1 million of qualifying investment.
Business fit and eligible activity
Existing manufacturers operating in the state at least two years can claim a direct credit for substantial facility/equipment investment. Qualified investment or approved project activity; confirm eligible property, location and taxpayer type.
Eligibility and practical use
For a mill owner, the practical question is what property the statute treats as qualified investment. Production machinery is usually the first place to look; buildings, electrical work, software, mobile equipment, and used machinery require closer reading. Logging equipment deserves a separate eligibility check because mobile harvesting property may be treated differently from machinery used at a manufacturing site.
Illustrative business benefit
An eligible established manufacturer invests $1.2 million in qualifying buildings and equipment. The nominal credit is $1.2 million x 5% = $60,000, subject to tax-liability limits.
Timing / first action
Tax-year claim: document the eligible expense, hire or placed-in-service date and meet any separate certification deadline. Get a written answer on which property is qualified - especially buildings, installation, software, used equipment, vehicles, and mobile machinery.
Official sources
Related programs
Brownfields Jobs Tax Credit
Jobs-tax-credit framework
A business redeveloping a certified brownfield can use jobs credits without the ordinary minimum-job threshold.
Jobs Tax Credit
Per-job amount and job threshold vary by county tier
Manufacturers creating the required number of new full-time jobs can earn program also requires investment, satisfy both tests.
MFLEX - Mississippi Flexible Tax Incentive
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Streamlined universal credit for larger new/expanding businesses creating jobs and investment.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
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Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
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Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method
A sawmill, secondary manufacturer or biomass business can qualify when it performs genuine technological experimentation to improve a product or process.