Mississippi State Income Tax Withholding

Last Updated: January 2026

Overview

Mississippi imposes a flat state income tax on taxable income exceeding $10,000. The first $10,000 of income is effectively exempt from tax, making Mississippi one of the more favorable states for lower-income earners.

2026 Tax Rates

Taxable Income Rate
$0 - $10,000 0%
Over $10,000 4.0%

Note: The 4.0% rate applies only to income exceeding $10,000.

Deductions and Exemptions

Standard Deduction:

  • Single: $2,300
  • Married Filing Jointly: $4,600
  • Head of Household: $3,400

Personal Exemption:

  • Taxpayer: $6,000
  • Spouse: $6,000
  • Each Dependent: $1,500

Special Considerations

State W-4 Form

Mississippi accepts the federal Form W-4 for withholding purposes. Employees may also use Mississippi Form 89-350 to claim different exemptions for state purposes.

Withholding Calculation

Mississippi withholding is calculated as follows:

  1. Determine gross wages for the pay period
  2. Subtract the prorated amount of standard deduction and exemptions
  3. Subtract $10,000 (annualized, prorated by pay period)
  4. Apply 4.0% to any remaining amount

Tax Phase-In

Mississippi has been gradually reducing its income tax rate and increasing the zero-tax threshold. The current structure reflects ongoing tax reform that eliminated lower brackets.

No Local Income Taxes

Mississippi does not permit local income taxes. Only state withholding is required.

Electronic Filing

Employers with Mississippi withholding tax liability of $200 or more per month must file and pay electronically.

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