Thursday, May 10, 2012

Mississippi Brownfield Tax Credit


Under this incentive, remediation costs paid for the assessment, investigation, remediation, monitoring, and related activities at a brownfield agreement site are eligible for at twenty-five (25%) tax credit for the tax year in which the costs are incurred.  

The annual credit shall not exceed the lesser of Forty Thousand Dollars ($40,000.00) or the amount of the income tax imposed upon the brownfield party at the brownfield agreement site for the taxable year as reduced by the sum of all other credits allowable to the brownfield party, except for credit for tax payments made by or on behalf of the brownfield party.

Any unused portion of the credit may be carried forward for succeeding tax years.  The maximum Total credit over the life of the project is One Hundred Fifty Thousand Dollars ($150,000.00).

To receive the tax credit, you must obtain certification from the Mississippi Department of Environmental Quality (MDEQ) that you are a brownfield party that has conducted remediation at a brownfield agreement site during the tax year for which the credit is sought.   You will need to fill out and return the pre-certification form to the address at the top of the form.