Web Developer Taxes in Mississippi - 2026 Guide

Updated for 2026 (Filing 2025 Taxes)

Tax Essentials for a Web Developer in Mississippi

From crafting responsive designs for coastal businesses to building e-commerce platforms for the state’s growing entrepreneurial scene, web developers in Mississippi play a vital role in the modern economy. However, alongside the creative fulfillment comes the responsibility of managing taxes as a self-employed individual.

As a web developer operating as an independent contractor or freelancer in Mississippi, the federal government requires reporting all business income and expenses on Schedule C (Profit or Loss From Business) with Form 1040. Crucially, income exceeding $400 necessitates the payment of self-employment tax, covering both Social Security and Medicare contributions.

How Mississippi Handles Gig Worker Taxes

Mississippi, known for its hospitality and rich history, also requires residents to file a state income tax return, even if federal income tax isn’t owed. As a self-employed web developer residing in Mississippi, you are responsible for paying state income tax on your net earnings. Mississippi operates under a flat income tax rate, currently at 5% for the 2025 tax year. This means all taxable income is taxed at the same percentage, simplifying the calculation process. The primary form for filing state income tax as a self-employed individual is Form 83-101, Individual Income Tax Return.

Mississippi also requires estimated tax payments if your expected tax liability is $250 or more. These payments are typically made quarterly to avoid penalties. The Mississippi Department of Revenue provides resources and payment options online. It’s important to accurately track income and expenses throughout the year to ensure correct estimated tax payments. Furthermore, Mississippi allows for certain deductions and credits that can reduce your overall tax burden, so thorough record-keeping is essential. The state also offers a standard deduction, which can be beneficial for those with limited itemized deductions. Consulting with a tax professional familiar with Mississippi tax law is highly recommended to maximize potential savings and ensure compliance.

For more information and resources, please visit the Mississippi Department of Revenue: https://www.dor.ms.gov/

Key Tax Deductions for Home-Based Web Developers

• Home Office Deduction: The home office deduction allows web developers to deduct expenses related to the portion of their home exclusively and regularly used for business. “Exclusive use” means that space is only used for work; a dining room table used for both family meals and coding doesn’t qualify. “Regular use” implies consistent and frequent use for business activities. Taxpayers can choose between the simplified method ($5 per square foot, up to 300 square feet) or the actual expense method (calculating a percentage of mortgage interest, rent, utilities, etc., based on the square footage used for business).
• Hardware & Software: The cost of essential hardware, such as computers, monitors, and cameras used for client work, is generally deductible. Software expenses, including subscriptions to tools like Adobe Creative Cloud, web hosting services, and development environments, are also deductible business expenses.
• Internet & Phone Bill: If a portion of your internet and phone usage is directly related to your web development business, you can deduct the business-use percentage. Carefully track how much time is spent on business-related activities versus personal use to accurately determine this percentage.

Note on Mileage: As a home-based worker, mileage deductions are less common. However, any travel specifically for client meetings, attending industry events, or procuring supplies for your business can be claimed using the standard mileage rate or actual expenses.

The 15.3% Self-Employment Tax Explained

The 15.3% self-employment tax is comprised of two components: 12.4% for Social Security and 2.9% for Medicare. This tax effectively covers both the employer and employee portions of these taxes, as a self-employed individual is both the employer and the employee. You can deduct one-half of your self-employment tax from your gross income when calculating your adjusted gross income (AGI).