HB1691: Income tax; revise certain provisions relating pass-through entities.

Legislative Summary

An Act To Allow Partnerships, S Corporations Or Similar Pass-through Entities To Elect To Be Taxed As An Electing Pass-through Entity For State Income Tax Purposes And Pay Income Tax At The Entity Level; To Provide The Manner By Which A Partnership, S Corporation Or Similar Pass-through Entity May Elect To Be Taxed As An Electing Pass-through Entity; To Provide That Each Owner, Member, Partner Or Shareholder Of An Electing Pass-through Entity Shall Report His Or Her Pro Rata Or Distributive Share Of The Income Of The Electing Pass-through Entity But Shall Not Be Liable For Income Tax Imposed On Such Pro Rata Or Distributive Share; To Provide That Each Owner, Member, Partner Or Shareholder Of An Electing Pass-through Entity Shall Be Allowed A Credit Against Income Taxes In An Amount Equal To His Or Her Pro Rata Or Distributive Share Of Income Tax Paid By The Electing Pass-through Entity With Respect To The Corresponding Taxable Year; To Amend Sections 27-7-25 And 27-8-7, Mississippi Code Of 1972, To Conform To The Provisions Of This Act; And For Related Purposes.