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Bill > HB493


MS HB493

MS HB493
Tax liens; provide for time within which the Department of Revenue may take action to collect against.


summary

Introduced
01/10/2025
In Committee
01/10/2025
Crossed Over
Passed
Dead
02/04/2025

Introduced Session

2025 Regular Session

Bill Summary

An Act To Amend Section 85-11-21, Mississippi Code Of 1972, To Provide The Time Within Which The Department Of Revenue May Take Action To Collect Against A Tax Lien For A Finally Determined Tax Liability; To Amend Section 31-19-27, Mississippi Code Of 1972, To Provide That A Doubtful Claim Is A Claim For Which A Notice Of Tax Lien Has Been Enrolled In The Uniform State Tax Lien Registry For A Finally Determined Tax Liability And For Which The Department Of Revenue Is Prohibited Under Section 85-11-21 From Taking Any Action For Collection Against The Tax Lien For Such Liability; And For Related Purposes.

AI Summary

This bill modifies Mississippi state law regarding tax liens by establishing new time limitations for the Department of Revenue's ability to collect on tax liens. Specifically, for tax liens initially enrolled on the tax lien registry on or after July 1, 2025, the department will be prohibited from taking collection actions more than 10 years after the initial enrollment of the tax lien for a finally determined tax liability. For existing tax liens enrolled before July 1, 2025, the department will not be able to take collection actions after July 1, 2035. Additionally, the bill amends the definition of a "doubtful claim" to include tax liens for which the Department of Revenue is prohibited from taking collection actions under the new time limitations. This change affects how certain state and local government debts are categorized and pursued, potentially providing relief for taxpayers by limiting the extended duration of tax collection efforts. The bill is set to take effect on July 1, 2025, giving state agencies and taxpayers time to prepare for the new regulations.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Died In Committee (on 02/04/2025)

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