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MS · payroll profile

Mississippi

Everything an out-of-state employer needs before running a Mississippi payroll: what to withhold, which form the employee signs, whether reciprocity applies, and who to register with.

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Personal income tax
Flat 4%
Reciprocal agreements
None
SUI wage base 2026
$14,000
Local income taxes
No

Income tax withholding

Imposes wage income tax Yes
Rate structure Flat 4%
Withholding certificate 89-350
Mississippi Employee's Withholding Exemption Certificate
Accepts federal Form W-4 No
Convenience-of-the-employer rule No
Nonresident withholding threshold From the first dollar
Withholding required from the first dollar of Mississippi-source wages; no de minimis day or dollar safe harbor. Mississippi's flat rate stepped down from 4.4% to 4.0% effective January 1, 2026.
Local income taxes No
No local personal income or wage taxes in Mississippi.

Reciprocity

States that exempt Mississippi residents

A Mississippi resident working in these states files that state's certificate and is taxed only by Mississippi.

District of Columbia

Unemployment insurance and paid leave

Taxable wage base 2026 $14,000
2025 base was $14,000.
New employer rate 1%
New employers pay 1.00% in year one, 1.10% in year two and 1.20% in year three before becoming experience-rated.
Experience rate range 0% – 5.4%
Experience-rating method benefit ratio
Employee UI contribution No
Paid family / medical leave No

Employer registration

Tax agency
Mississippi Department of Revenue
UI agency
Mississippi Department of Employment Security (MDES)

Sources

dor.ms.gov · taxfoundation.org · taxfoundation.org · mdes.ms.gov · oui.doleta.gov · oui.doleta.gov · oui.doleta.gov

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This is a determination aid, not advice. StateSide encodes published state rules and applies them mechanically to the facts you enter. It does not know your entity structure, your nexus history, your equity compensation, or the dozens of exceptions that turn a clean rule into a judgement call. Every determination cites the state source it came from — verify against that source, and take anything consequential to a payroll tax professional before you act on it.