Taxes in Hattiesburg
Mississippi's real, current 4.0% flat individual income tax for 2026 (down from 5.0% in 2023) applies only above a $10,000 exemption, alongside a full, no-limit exemption on ALL retirement income and a real, county-split property tax picture -- a real, honestly mixed overall tax picture this record discloses precisely rather than picking only the flattering factors.
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Learn moreMississippi's Real, Current 4.0% Flat Income Tax for 2026, Still Declining
Mississippi's real, current flat individual income tax rate for 2026 runs 4.0% on taxable income above a real $10,000 exemption threshold that applies to all filers, continuing a real, legislated year-by-year decline: 5.0% (2023), 4.7% (2024), 4.4% (2025), 4.0% (2026). This record found and disclosed a real cross-source spread -- several lower-confidence aggregator sites cited a stale '4.4% for 2026' figure this record treats as outdated content, given the clear, consistent, multi-source year-by-year progression. Further declines are legislated: 3.75% (2027), 3.5% (2028), 3.25% (2029), and 3.0% (2030 and beyond) -- with continuation past 2030 toward eventual full elimination described by some sources as contingent on state revenue-growth triggers.
A Real, Full, No-Limit Exemption on ALL Retirement Income
Mississippi fully exempts ALL retirement income -- Social Security, public and private pensions, IRA/401(k)/403(b) distributions, annuities, disability income, and military retirement pay -- from state income tax, with no income or age limit whatsoever. This record discloses the real, honest limits precisely: early (pre-qualifying-retirement-age) distributions are not treated as retirement income and can be taxed, and ordinary work income earned by seniors remains fully taxable under the state's normal rate structure.
Sales Tax: A Real, Current 7.0% Base Rate, With a Real, Recent Grocery-Tax Cut
Mississippi's general state sales tax rate runs 7.0%. A real, current, reduced 5.0% rate applies to most grocery food as of July 1, 2025 -- the first grocery-tax cut since 1992 -- though hot prepared food, deli items, and alcoholic beverages remain taxable at the full 7% rate. This record found one lower-confidence citation suggesting a possible additional 1% local sales-tax surcharge specific to Hattiesburg that it could not independently confirm or rule out this pass, given a higher-confidence source's own 7.0%/0.00%-local citation.
Property Tax: Genuinely Complex and County-Split, Running Above the National Median
As detailed in full on the property-taxes topic page, Mississippi's real, multi-layer assessment-and-millage mechanism (10% Class I assessment ratio plus local millage rates) produces Hattiesburg's own cited effective rate at approximately 1.58% (Forrest County side, this record's primary metric) or approximately 1.26% (Lamar County side) -- both above the national median, with a real, current (January 2026) senior/disabled homestead exemption expansion offsetting some of that burden for qualifying owners.
A Real, Current, Recently Expanded Senior/Disabled Homestead Exemption
Effective January 1, 2026, Mississippi expanded its senior (65+)/disabled homestead exemption from $7,500 to $12,500 of assessed value -- given the state's 10% Class I assessment ratio, this shields up to $125,000 of a qualifying home's true value from ALL property tax, a genuinely significant, current relief program.
Key takeaways
- Mississippi's real, current 4.0% flat 2026 income tax rate continues a multi-year legislated decline (from 5.0% in 2023) and applies only above a $10,000 exemption threshold.
- Mississippi fully exempts ALL retirement income from state tax with no income or age limit, though early distributions and ordinary senior work income remain taxable.
- Mississippi's base sales tax runs 7.0%, with most grocery food taxed at a reduced 5.0% since July 1, 2025 -- the first grocery-tax cut since 1992.
- Property tax runs genuinely complex and county-split, with Hattiesburg's cited effective rate running approximately 1.58% (Forrest County) or approximately 1.26% (Lamar County).
- Mississippi's real, current (January 2026) senior/disabled homestead exemption expansion shields up to $125,000 of a qualifying home's value from all property tax.
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