HARRISON: Insurance premium tax increase an unexpected boon for #msleg

Bobby Harrison: Insurance premium tax only bright spot in state’s revenue stream

Surging revenue from Mississippi’s tax on insurance premiums has prevented what has been a dismal year for state revenue collections from being even worse.

While state revenue collections for the fiscal year that ended June 30 are down year over year for only the fourth time since at least 1970, revenue from the 3 percent tax on insurance premiums sold within the state skyrocketed by $50.1 million or nearly 23 percent.

While the insurance premium revenue composes only a small portion (under 5 percent) of the state’s $6.3 billion budget, the revenue still was an unexpected boon for legislators dealing with budget woes.

Daily Journal
7/12/16