This program provides low-interest loans to finance projects for energy-conserving capital improvements and installation of renewable energy technology or equipment.  Funds are available up to $500,000 for demonstrated commercially feasible technologies and/or processes, including but not limited to HVAC upgrades, lighting retrofits and insulation improvements that contribute to increased building efficiency and reduced energy demand. To learn more about these energy programs, contact MDA’s Energy Division at 601.359.3449.

An exemption from property taxes is available to eligible industries that locate or expand in the state. This 10-year exemption from property taxes may be granted by local governing authorities on real and tangible personal property being used in the state. The exemption may be granted for all local property taxes except school district taxes on any property, but may not be granted on finished goods or rolling stock.

Research and Development Skills Tax Credits are credits equal to $1,000 per employee per year for a five-year period that can be used to reduce an eligible entity’s income tax liability. These credits are available for any position requiring research or development skills.

Companies producing oil and gas in the state using carbon dioxide as a method of enhanced oil recovery (EOR) receive a reduced sales tax rate on electricity and fuel used in production.

For new or expansion projects in the state that have a private capital investment in excess of $60 million, a negotiated fee can be set that is paid in place of the standard property tax levy. This incentive is provided to encourage development with local communities and must be agreed to by the local board of supervisors and municipal authorities prior to being awarded.

A sales and use tax exemption is available for eligible businesses that construct a new facility or expand an existing facility in the state.

Aerospace businesses that locate or expand in Mississippi, create at least 25 full-time jobs paying at least 110% of the state or county average annual salary and make an investment of at least $25 million in the state may receive a sales and use tax exemption and other tax incentives through the Mississippi Aerospace Initiative Incentives Program.

The Growth and Prosperity (GAP) Program provides for a sales and use tax exemption to companies that locate or expand in areas of Mississippi designated as GAP counties.

This incentive is available to eligible businesses that promise significant expansion of the economy through the creation of jobs. The average of all jobs included in the program must meet the minimum average wage requirements. The program provides for a rebate of a percentage of Mississippi payroll to employers for a period of up to 10 years.

Aerospace businesses that locate or expand in Mississippi, create at least 100 full-time jobs and make an investment of at least $30 million in the state may receive a franchise tax exemption and other tax incentives through the Mississippi Aerospace Initiative Incentives Program.

A full exemption from property taxes may be granted by local governing authorities on personal property that is being held and stored prior to transport to a final destination outside the state. The exemption may be granted for all local property taxes and may be granted for any period of time set by the local governing authority.

Existing manufacturers that have operated in Mississippi for two or more years may be eligible for investment tax credits that can be applied to the entity’s state income tax liability. To qualify, an existing manufacturer must invest $1,000,000 or more in buildings and/or equipment used in the manufacturing operation. The investment credit is calculated as 5% of the eligible investment for a project.

This incentive provided a reduced severance tax rate of 1.3 percent for oil and gas extracted from horizontally drilled wells The reduced rate is available for a period of 30 months or until payout of the well and applies to all qualified horizontally drilled wells between July 1, 2013 and June 30, 2018. For more information about these incentives or to learn more about incentives available to businesses in Mississippi, contact MDA’s Financial Resources Division at 601.359.3552.

The Strengthening Mississippi Academic Research Through (SMART) Business Act Program defrays the research and development costs of companies that operate in Mississippi and partner with a state institution of higher learning. Under this program, a corporation that collaborates with a state university for research and development purposes, including energy-related research, is eligible for a 25-percent rebate of the total research costs. This program is administered by the Mississippi Institutions of Higher Learning (IHL). To learn more, contact IHL at 601.432.6264 or by email smartbusact@mississippi.edu.

A sales and use tax reduction is available for qualified motion picture production companies on purchases and rentals used in the production of a nationally distributed feature-length film, video, television series or commercial made in Mississippi. At least 20 percent of production crew of an eligible production must be Mississippi residents.

Mississippi’s Clean Energy Initiative Incentives Program provides a sales and use tax exemption and other tax incentives to companies that manufacture systems or components used to generate clean, renewable or alternative energy and create at least 250 full-time jobs and invest a minimum of $50 million in Mississippi.

Mississippi provides data centers with a sales and use tax exemption for all new and replacement computing equipment and software. Data centers must invest at least $20 million and must create at least 20 new jobs paying 125 percent of the average state wage to qualify for this program.

Rural Economic Development (RED) Credits are credits that can be used to reduce Mississippi corporate income tax. These credits are created based on the amount of bond-related debt service paid on industrial revenue bonds issued by the Mississippi Business Finance Corporation (MBFC).

A property tax exemption is available for eligible telecommunications businesses on the purchase of equipment used in the deployment of broadband technology in the state.

An exemption from property taxes on land, building and equipment is available and is valid for up to 10 years on property purchased with industrial revenue bond proceeds from bonds issued by the Mississippi Business Finance Corporation (MBFC).

Broadband Technology Tax Credits are credits that are provided to entities to encourage the deployment of high-speed internet access throughout the state, with an emphasis on rural areas.

The Growth and Prosperity (GAP) Program provides for a franchise tax exemption to companies that locate or expand in areas of Mississippi designated as GAP counties.

The program designates specific counties as GAP counties and provides income, franchise, sales and property tax incentives to companies that locate or expand in these areas of the state.

​Mississippi’s Aerospace Initiative Incentives program provides corporate tax incentives to companies that manufacture or assemble components for the aerospace industry or provide research, development or training services for the sector and are looking to locate or expand in the state.

Skills training tax credits are credits that can be applied to state income tax to reduce an employer’s income tax liability. These credits are earned by certain types of businesses that offer training to their employees in Mississippi.

A sales and use tax exemption is available for eligible businesses that create their national or regional headquarters in Mississippi, transfer their headquarters to the state or grow their existing headquarters operations in the state. This exemption applies to component building materials used in the construction or improvement of a facility, as well as the machinery and equipment used in the facility. A minimum of 20 new headquarters jobs must be created for a business to qualify for this exemption.

To encourage construction and expansion within the state, the Mississippi Business Finance Corporation may issue industrial revenue bonds for financing approved projects. Once projects are induced in the bond program, a sales tax exemption is available for all purchase made with bond proceeds.

A sales and use tax exemption is available for eligible telecommunications businesses that deploy broadband technology. The amount of exemption that is allowed is based on the location of the facility.

While Mississippi boasts energy costs around 20 percent below the national average, the state now exempts energy used in manufacturing from sales tax, further cutting the costs of one of the key drivers companies consider when choosing a location for new investment.

An exemption from property taxes on land, building and equipment is available and is valid for up to 10 years on property purchased with industrial revenue bond proceeds from bonds.

OJT reimbursements can help offset training costs for new employees, depending on their wages and the length of training. The community college and/or WIN Job Center will work with the company to develop and negotiate a training and service plan and funding agreement.

The program is an ad valorem tax exemption available for qualified business within a Growth and Prosperity (GAP) Area for a ten (10) year period.

Energy Performance Contracting is an innovative financing package that uses savings from reduced energy consumption to repay the cost of installing energy conservation measures. A qualified Energy Service Company, or ESCO, guarantees a level of energy savings for a specified contract term sufficient to cover all project costs. To learn more about these energy programs, contact MDA’s Energy Division at 601.359.3449.

Mississippi’s Clean Energy Initiative Incentives Program provides a franchise tax exemption and other tax incentives to companies that manufacture systems or components used to generate clean, renewable or alternative energy and create at least 250 full-time jobs and invest a minimum of $50 million in Mississippi.

This program provides credits that can be applied to state income tax to reduce an employer’s income tax liability. The credits are earned by certain types of businesses that create and sustain new jobs in Mississippi.

The Mississippi Clean Energy Initiative program allows the Mississippi Development Authority to certify companies that manufacture systems or components used to generate clean, renewable or alternative energy. This includes nuclear, solar, wind and hydro-generation. The program provides qualifying companies with a 10-year exemption from state income and franchise taxes, as well as a sales and use tax exemption to establish a plant or expand an existing production facility.