House Bill 952

AN ACT TO REQUIRE THE STATE AUDITOR TO PREPARE A REPORT, FOR SUBMISSION TO THE MISSISSIPPI STATE LEGISLATURE EVERY FOUR YEARS, THAT COMPILES AND ANALYZES THE COSTS ASSOCIATED WITH AUTHORIZING ANY KIND OF REDUCTION IN STATE TAX REVENUE; TO REQUIRE CERTAIN AGENCIES TO WORK WITH THE STATE AUDITOR IN PREPARING THE REPORT; TO PROVIDE THAT THE REPORT SHALL ANALYZE EVERY PROVISION EXEMPTING A SPECIFIC CLASS OF PERSONS, INCOME, GOODS, SERVICES OR PROPERTY FROM THE IMPACT OF ESTABLISHED STATE TAXES, INCLUDING TAX CREDITS, DEDUCTIONS, ALLOWANCES, EXCLUSIONS, EXEMPTIONS AND INCENTIVES; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) Beginning July 1, 2014, and every four (4) years thereafter, the State Auditor shall prepare and submit to the Mississippi State Legislature a report that compiles and analyzes the costs associated with authorizing any kind of reduction in state tax revenue. The State Auditor shall work with the Mississippi Development Authority, the Department of Revenue, the Joint Legislative Committee on Performance Evaluation and Expenditure Review, the Center for Policy Research and Planning, and any other state agency he deems beneficial, to collect information for and to prepare the annual report, and those entities shall fully cooperate with the State Auditor in that regard. The report shall collect and compile the relevant data for the four (4) previous fiscal years, with the last of those fiscal years ending in the next preceding calendar year.

(2) The report shall analyze every statutory provision or state agency regulation which exempts, in whole or in part, any specific class or classes of persons, income, goods, services or property from the impact of established state taxes. This analysis shall include tax credits, tax deductions, tax allowances, tax exclusions, tax exemptions, and any other types of tax incentives. The analysis shall calculate the total amount of direct state tax revenue foregone by the state as a result of such tax measures, as well as any positive economic impact resulting in increased tax revenue because of the creation of primary and auxiliary jobs that may have been gained as a result of a specific tax measure.

SECTION 2. This act shall take effect and be in force from and after July 1, 2013.