State revenue is anemic even before recent income tax cut takes effect

It should not be a surprise that what was touted as the largest tax cut in state history might be resulting in less revenue to fund Mississippi’s vital services such as education, law enforcement and health care.

Perhaps a bit of clarification is needed. In recent years, three separate tax cuts have been touted by leaders as “the largest tax cut in state history”: a $416 million tax cut in 2016 and a $525 million tax cut in 2022. But neither is no longer the state’s largest tax cut. That was passed earlier this year during the 2025 legislative session. The 2025 tax cut has not yet gone into effect.

So, in other words, three times in less than a decade, legislators have passed “the largest tax cut in state history.”

Mississippi’s current anemic revenue collections can be attributed to on