Section 35-3-08-06-402.03 - Business Income of Airlines. If an airline has any activity other than simply passing over this state, then it is "doing business" in this state and is required to file a return. The net business income of an airline company which has not been directly assigned, allocated or excluded as otherwise provided by this Regulation shall be apportioned to this state as provided in this section1. PASSENGER TRAFFIC INCOME. Business income from passenger traffic shall be apportioned to this state in the ratio that Mississippi revenue passenger miles bears to the total revenue passenger miles. The numerator of the ratio shall be computed by multiplying the number of revenue-producing passengers carried on flights landing or taking off within this state by the number of miles flown over the state by such flights. The denominator shall be determined by multiplying the total number of revenue-producing passengers carried by the total number of miles flown by flights carrying revenue-producing passengers.2. CARGO TRAFFIC INCOME. Business income from cargo traffic and other classes of traffic shall be apportioned to this state in the ratio that Mississippi revenue ton miles, or other units of cargo transported, multiplied by Mississippi miles flown bears to the total of such elements of the factor. The numerator of each of such ratios shall be computed by multiplying the number of revenue-producing tons, or other units of cargo carried on flights landing or taking off within this state by the number of miles flown over this state by such flights. The denominator of each of such ratios shall be determined by multiplying the total number of revenue-producing tons, or other units of cargo carried, by total number of miles flown by flights carrying such revenue-producing cargo.3. ALTERNATIVES BASIS. Business income of an airline company, or business income from any class of traffic of an airline company, may, as an alternative to the requirements of the paragraphs above, be apportioned to this state in the ratio that Mississippi flight miles bears to total flight miles during the tax year. The numerator of such alternative ratio shall be computed by multiplying the number of miles flown over this state by such flights. The denominator shall be determined by multiplying the total number of revenue-producing flights by the total number of miles flown by such flights.4. In all of the apportionment formulas above, mileage from states here the taxpayer is not "doing business" will not be included in the apportionment formula.35 Miss. Code. R. § 3-08-06-402.03