Welcome to Alpha-Mail, the monthly newsletter about tax credits and incentives for tax professionals.

This month, learn how you can help your clients recover from their DIY tax credit jams.  Also, some of you may have clients with operations in Mississippi, so be sure to see our overview of Mississippi credits and incentives. We hope you can use this information to strengthen your client relationships! 

Thank you for reading Alpha-Mail -- please click reply to tell us what you think.

All the best, 

 Dale Stapler    Jim Tinsley
     Alpharesults, LLC 

As we've mentioned before, our Georgia clients frequently ask us to investigate potential credits and incentives in other states where they have operations, potential acquisitions or strong relationships with customers or vendors. In addition, private equity groups ask us about potential $$ for their portfolio companies.

We were recently asked about credits and incentives in Mississippi. I was able to attend the Mississippi Economic Development Council (MEDC) 2014 Winter Conference and learned some of their details (MEDC site click here). 

Mississippi's main tax credits and incentives cover new capital investments, new jobs, infrastructure, energy, R&D, and workforce training.  Local incentives can include property tax abatement.  Incentives and credits are also available to a wide range of targeted industries that include manufacturing, warehousing and distribution, aerospace, data centers, health care-related, broadband technology, motion picture production, headquarters facilities, and others.   

Mississippi's credits and incentives are range in complexity and are typically more generous than other states (see Mississippi Development Authority site here). 

• Advantage Jobs Program provides for a rebate of a percentage of payroll for up to 10 years.
• Jobs Tax Credits are tied to threshold levels determined by a county tier system.  These credits can can offset 50% of state income taxes, are available for a five year period, and have carryforwards up to 5 years.  
• Manufacturing Investment Tax Credits for existing firms offset up to 50% of state tax liability with a $1 million investment minimum, worth up to 5% of the investment.  
• Headquarters Tax Credits for relocating or expanding corporate headquarters.  Minimum 20 new jobs, can be carried forward up to 5 years.  Amount awarded depends on wage levels of new jobs up to $2,000 per position.  
• Skills Training Tax Credits available for businesses that provide training to employees and can offset up to 50% of state tax liability and carried forward up to 5 years.  
• Other incentives include tax credits for Clean Energy facilities and R&D Skills new positions, among others.       
• Workforce Training and Job Assistance Programs offer comprehensive workforce training, job recruiting, and many other programs (click here and here). 
• Local property and sales tax abatements are very generous and widely available, negotiated locally.   

 Compared to Georgia, Mississippi has:

• A wider range of incentive and credits.  
• A wider range of companies eligible for most credits.   
• A more complex assortment of qualifying activities and $$ incentive amounts.  
• Larger incentives that must be pre-approved and carefully planned.
• Several other credits that can be taken after the fact and on amended tax returns.

Alpharesults has assembled a team with the specialized knowledge and approach required to obtain Georgia income tax credits.  We are not a public accounting firm.  Rather, our services complement those of public accounting firms and do not create conflicted loyalties, because our professionals do not perform attestation work or other external audit functions.  

We focus on small to medium-sized businesses and work exclusively in Georgia with a wide variety of in-state and out-of-state accounting firms.  For more information on our services, follow this link.