Factories, farmers and fishermen could stop paying sales taxes on electricity and fuel, under a state House proposal.
Representatives passed House Bill 844 by a 75-43 vote. It would exempt those groups from a 1.5 percent sales tax on fuel used in producing those industries' products.
The tax break would cost more than $6.9 million, under projections from the state Department of Revenue.
House members are likely to consider a $45 million a year tax break to exempt manufacturers from the state's franchise tax soon.
Supporters of the bill, say many other states don't tax energy use in production. They say Mississippi would be more attractive for new factories without the tax.
Opponents say the state can't afford to surrender tax revenues when it's struggling to fund existing programs.