Mississippi Administrative Code
Title 35 - Department of Revenue
Part 3 - Income and Franchise
Subpart 02 - Gross Income
Chapter 06 - Dividend Income
Section 35-3-02-06-109

Dividends paid in securities or other property (other than its own stock) in which the earnings of a corporation have been invested are income to the recipients at the fair market value of such property when distributed by the corporation to the shareholder. Scrip dividends are payments to the company's shareholders in the form of new shares rather than money. Scrip dividends are subject to tax in the year in which the certificate is issued.