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
- Mississippi Development Authority - Incentives (mississippi.org)
Related programs
Brownfields Jobs Tax Credit
Jobs-tax-credit framework with brownfield-specific relaxation of minimum job requirement.
Jobs-tax-credit framework with brownfield-specific relaxation of minimum job requirement.
Jobs Tax Credit
Per-job amount and job threshold vary by county tier.
Per-job amount and job threshold vary by county tier.
MFLEX - Mississippi Flexible Tax Incentive
Generally requires more than $2.5 million planned investment and more than 10 jobs; award...
Generally requires more than $2.5 million planned investment and more than 10 jobs; award calculated under MFLEX agreement and can offset multiple state liabilities.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally 6% base investment credit and up to 30% with prevailing-wage/apprenticeship...
Generally 6% base investment credit and up to 30% with prevailing-wage/apprenticeship compliance, plus possible statutory bonuses.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
Production-based credit beginning at 0.3¢/kWh, with higher rates and bonuses when statutory...
Production-based credit beginning at 0.3¢/kWh, with higher rates and bonuses when statutory conditions are satisfied.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method or the alternative simplified method. The latter generally...
Regular research-credit method or the alternative simplified method.