Summary

Gov. Tate Reeves signed a tax overhaul bill into law that phases out Mississippi’s income tax over 14 years, aiming to make the state more economically competitive.

Due to typos, the bill nullifies intended economic growth triggers, potentially accelerating tax elimination.

It also cuts the grocery tax from 7% to 5%, raises the gas tax by 9 cents, and changes public employee retirement benefits.

Critics warn of a $2.6B annual revenue loss, risking vital services in the nation’s poorest state. Officials remain divided on the bill’s long-term impact.

  • SoftestSapphic@lemmy.world
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    5 days ago

    When the rich technically make no income then regular working Americans end up paying more income tax than billionaires

    Income tax disproportionately effects the poor unfortunately

    • dogslayeggs@lemmy.world
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      5 hours ago

      And sales tax, which is usually used to offset income tax in no-tax states, effects the poor WAY more than income tax. People making less than a certain amount pay no income tax but still have to pay sales tax. I doubt they will implement a luxury goods sales tax, while the 10% tax on a pound of meat is far harder to pay for by a person barely making ends meet than for a person buying ground Wagyu.

    • orcrist@lemm.ee
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      5 days ago

      No. Not really. That depends on the tax rates, my friend.