Rent Real Estate and Royalties The activities reported on the Federal Schedule E are reported here.
Interest Income Enter any interest received or credited during the tax year on notes, mortgages, bank deposits, and/or corporation bonds. Bond interest, when received or credited is considered income. Interest income is exempt if from obligations from the U.S. Government, State of Mississippi and any subdivisions thereof. Interest income is taxable on obligations outside Mississippi of other countries, states, cities, or political subdivisions.
Dividends The amount of all dividends received during your tax year should be reported. Dividends include distributions of money as well as property.
Alimony Received The portion of alimony and separate maintenance payments taxable to Mississippi must be reported as gross income.
Business Income or Loss If you owned a business, enter your profit or loss.
Capital Gain or Loss If you have a capital gain or loss on your federal return, you would enter it here. The state generally follows the IRS rules for computation of capital gains and losses and are subject to the same federal limitations. Unlike the federal, Mississippi doesn’t have separate tax rates for capital gains, so gains are taxed at the same rate as other income.
Total Pensions and Annuities Under the Federal Internal Revenue Code (see Federal Form 5329), pensions and annuities that are taxable as early or excess distributions do not qualify for exemption from Mississippi income tax. This is reported here as taxable income. Separation pay is not retirement income and doesn’t qualify for exemption. Also taxable for Mississippi purposes are deferred compensation plan distributions received prior to attainment of retirement age and/or service requirements. Don’t report Social Security benefits, annuity benefits received under the federal Railroad Retirement Act, or retirement income from federal, state, and private retirement systems as they are exempt from tax.
Farm Income or Loss Enter net farm income/loss here.
Unemployment Compensation Enter the amount of unemployment compensation from Form(s) 1099-G received in the tax year that is taxable as Mississippi income.
Other Income or Loss Enter the amount from Form 80-108, Part V, Line 10 (Schedule N).
To see this form, click here: Form 80-108 Schedule N