Mississippi House Bill HB390

Mississippi 2022 Regular Session

• Introduced: 1/5/22
• Refer: 1/5/22
• Failed: 2/1/22

Caption

Income tax; automatically extend time for filing tax returns when IRS extends time due to emergency/disaster.

Impact

If enacted, HB390 would simplify the procedures surrounding income tax return filing during declared emergencies. By aligning state tax regulations with federal guidelines provided by the IRS, the bill ensures taxpayers can benefit from a more straightforward and consistent extension process. This can potentially ease the financial burden on those affected by disasters, enabling them to focus on recovery without the added stress of tax liabilities.

Summary

House Bill 390 introduces amendments to Section 27-7-50 of the Mississippi Code of 1972, specifically addressing the recognition of extensions for filing income tax returns. The bill mandates that the Commissioner of Revenue automatically grant extensions that are authorized and granted by the Internal Revenue Service (IRS) during emergencies or major disasters that receive a presidential declaration. This change is aimed at easing the tax filing process for individuals and businesses impacted by such events, ensuring they are not penalized for delays in submission due to circumstances beyond their control.

Contention

While the bill appears to provide beneficial relief for taxpayers during emergencies, there could be points of contention regarding how this automatic recognition is implemented. For instance, concerns may arise regarding the administrative capacity of the Department of Revenue to process these automatic extensions efficiently. Additionally, there may be discussions on the potential for different interpretations between state and federal guidelines, leading to confusion among taxpayers about their responsibilities.