The Mississippi Corporate Franchise Tax Schedule is a business tax schedule used by corporations to calculate the amount of taxable capital connected to Mississippi. It helps determine the capital amount that should be reported on the Mississippi corporate income and franchise tax return. The schedule starts by calculating the corporation’s capital base, which generally includes items such as capital stock, paid-in capital, surplus, retained earnings, shareholder or affiliate loans, deferred taxes, reserves, and related equity or liability items. It then uses an apportionment ratio to measure how much of the company’s capital should be assigned to Mississippi when the company operates both inside and outside the state. The schedule also compares apportioned taxable capital with the assessed value of Mississippi property, because the larger amount is used as the taxable capital starting point. After that, the form applies prorating rules when the return period is shorter than twelve months, subtracts any allowed capital exemption, rounds the final amount up to the next highest $1,000, and carries the result to the main Mississippi corporate return. In simple terms, this schedule helps Mississippi determine the franchise tax base for corporations by looking at the company’s capital, Mississippi activity, property value, and applicable adjustments.
How To File The Mississippi Corporate Franchise Tax Schedule
Complete the schedule as part of the Mississippi corporate franchise tax filing process. Start by entering the corporation’s FEIN at the top of the schedule. Then complete the Capital Base section using amounts from the company’s books and financial records. Round those capital base figures to the nearest dollar. Next, complete the Apportionment Ratio section by entering Mississippi amounts in Column A and total everywhere amounts in Column B. Use those figures to calculate the Mississippi ratio. After that, complete the assessed value table for Mississippi property, including county information and assessed values for real property and personal property. Finally, calculate taxable capital, apply any required prorating, subtract any capital exemption, round the final taxable capital up to the next highest $1,000, and enter the final amount on the related line of the main corporate return.
How To Complete The Mississippi Corporate Franchise Tax Schedule
Header Information
Form Year: Use the schedule for the correct tax year. This version is for the 2025 Mississippi Corporate Franchise Tax Schedule.
FEIN: Enter the corporation’s Federal Employer Identification Number clearly in the FEIN field. This number identifies the business for tax reporting purposes.
Capital Base Instructions
The Capital Base section measures the corporation’s total capital before Mississippi apportionment. Amounts in this section should be rounded to the nearest dollar.
Line 1: Capital Stock: Enter the value of the corporation’s capital stock. This usually represents the stated or reported capital stock amount from the company’s books.
Line 2: Paid In Capital: Enter paid-in capital. This is the amount contributed by shareholders or owners above the stated value of stock, depending on the company’s accounting records.
Line 3: Surplus And Retained Earnings: Enter the company’s surplus and retained earnings. This includes accumulated earnings kept in the business rather than distributed to shareholders.
Line 4: Loans From Shareholders Or Affiliates: Enter loans made to the corporation by shareholders or affiliated entities. Include applicable shareholder or affiliate loan balances that are part of the capital base calculation.
Line 5: Deferred Taxes, Contingent Liabilities, All True Reserves, And Other Elements: Enter deferred taxes, contingent liabilities, true reserves, and any other required capital elements. Attach a supporting schedule that explains the amounts included on this line.
Line 6: Less Treasury Stock: Enter the amount of treasury stock to subtract from the capital base. Treasury stock generally refers to the corporation’s own shares that it has reacquired.
Line 7: Holding Company Exclusion: Enter any holding company exclusion amount that applies. Attach a schedule showing how the exclusion was calculated.
Line 8: Total Capital Base: Add Lines 1 through 7 as instructed by the schedule. Enter the total capital base on this line. This amount becomes the starting point for the Mississippi taxable capital calculation.
Apportionment Ratio Instructions
This section determines how much of the total capital base is connected to Mississippi. Column A is for Mississippi amounts. Column B is for everywhere amounts.
Line 9A: Mississippi Real And Tangible Personal Property Owned At Year End: Enter the Mississippi net book value of real and tangible personal property owned by the corporation at the end of the year.
Line 9B: Everywhere Real And Tangible Personal Property Owned At Year End: Enter the total net book value of real and tangible personal property owned everywhere at the end of the year.
Line 10A: Mississippi Gross Receipts: Enter gross receipts assigned to Mississippi.
Line 10B: Everywhere Gross Receipts: Enter total gross receipts from all locations.
Line 11A: Mississippi Total: Add Line 9A and Line 10A. Enter the result as the Mississippi total.
Line 11B: Everywhere Total: Add Line 9B and Line 10B. Enter the result as the everywhere total.
Line 12: Mississippi Ratio: Divide Line 11A by Line 11B. Enter the result as a percentage. This percentage shows the portion of the corporation’s activity connected to Mississippi.
Line 13: Taxable Capital Apportioned To Mississippi: Multiply Line 8 by Line 12. If the corporation is 100 percent Mississippi-based, enter the amount from Line 8 instead of using an apportionment calculation.
Assessed Value Of Mississippi Property Instructions
Use this section to list Mississippi property by county and assessed value. Attach an additional schedule if more space is needed.
Mississippi County: Enter the county in Mississippi where the property is located.
Mississippi Assessed Value Of Real Property: Enter the assessed value of real property located in that Mississippi county.
Mississippi Assessed Value Of Personal Property: Enter the assessed value of personal property located in that Mississippi county.
Taxable Capital Instructions
This section compares the Mississippi apportioned capital amount with Mississippi assessed property value and calculates the final taxable capital.
Line 14: Total Assessed Value Of Mississippi Property: Add the assessed value of Mississippi real property and Mississippi personal property listed in the table. Enter the total here. Attach an additional schedule if the property details do not fit in the table.
Line 15: Taxable Capital: Compare Line 13 and Line 14. Enter the larger amount. This ensures the taxable capital is based on the greater of apportioned capital or assessed Mississippi property value.
Line 16: Prorate: Complete this line only when prorating is required. Do not use this line for an initial return. If the return covers less than twelve months, multiply Line 15 by the number of months covered by the return, then divide the result by twelve.
Line 17: Capital Exemption: Enter the capital exemption amount, if applicable. Attach a schedule showing the exemption calculation or support.
Line 18: Final Taxable Capital: Subtract Line 17 from Line 15 or Line 16, depending on which amount applies. Round the result up to the next highest $1,000. Enter that rounded amount on Form 83-105, Line 1. If the result is negative, enter zero on Form 83-105, Line 1.
Final Review Before Filing
Before submitting the Mississippi Corporate Franchise Tax Schedule, review every line for accuracy. Make sure the FEIN is correct, capital base amounts match the company’s records, required schedules are attached, Mississippi and everywhere amounts are entered in the correct columns, the apportionment ratio is calculated properly, county property values are complete, and the final taxable capital is rounded correctly. A clean review helps reduce filing errors and keeps the corporate franchise tax calculation clear and consistent.