Mississippi State Withholding Form: Everything You Need to Know

One of the few US states that requires employers to deduct state income taxes from employees’ paychecks is Mississippi. This implies that if you work in Mississippi, the state government will deduct money from your paycheck and use it to settle your state income tax debt. But what about Mississippi’s state withholding form, and how much tax is deducted from your salary there? Let’s start now. Is There a State Withholding Form for Mississippi?

Yes, employers in Mississippi must utilize a state withholding form to determine how much state income tax to deduct from their employees’ wages. The Mississippi Employee’s Withholding Exemption Certificate (Form 89-350) is the name of the document. To request withholding exemptions, employees must complete this form and give it to their employer. How Much Mississippi Tax Is Withheld From My Paycheck?

Your gross income, filing status, and withholding allowances are just a few of the variables that affect how much tax is deducted from your paycheck in Mississippi. Mississippi has a progressive income tax system, meaning that people with greater incomes must pay a larger share of it in state income taxes.

– 3% on the first $5,000 of taxable income

– 4% on the next $5,000–$10,000 of taxable income

– 5% of taxable income that exceeds $10,000

What Income Is Taxable in Mississippi, then? Mississippi levies taxes on all forms of income, including commissions, tips, bonuses, and wages. Additionally, the state levies taxes on rental income, gains from gambling, and self-employment income. However, Mississippi does not tax retirement income from qualifying plans like 401(k)s and IRAs or Social Security benefits. Do Senior Citizens in Mississippi Pay State Income Tax? Yes, Mississippi state income tax is imposed on all taxpayers, even senior folks. For taxpayers aged 59 12 or over, Mississippi does provide a retirement income exception. Retirement income up to $13,000 can be excluded by taxpayers from state income tax under the exception. Does Mississippi State Taxes Apply to Me?

You are often obligated to pay Mississippi state income tax if you reside in Mississippi or make money there. However, you might not be obliged to submit a Mississippi state tax return if you are a nonresident of Mississippi and only generate income from Mississippi sources. Using tax software or consulting a tax expert to ascertain your state tax filing requirements is always a good idea.

In conclusion, employers in Mississippi are required to use a state withholding form to deduct state income taxes from their employees’ paychecks. In Mississippi, the amount of tax deducted from your paycheck is based on your income, filing status, and withholding allowances. Mississippi levies taxes on all forms of income, including commissions, tips, bonuses, and wages. Seniors in Mississippi must pay state income tax, although they may qualify for a retirement income exclusion. Generally speaking, you must pay Mississippi state income tax if you reside in the state or make a living there.