This study characterizes reactive MgO-modified calcium sulfoaluminate (CSA) cement upon carbonation. Paste samples were fabricated by replacing CSA cement with reactive MgO at levels of 0, 5, 10, and 20 wt%. The samples were cured for 56 days and further cured at a CO2 concentration of 3% for 28 days. MgO incorporation into the CSA cement favored the formation of monosulfate over ettringite. Externally supplied MgO in the CSA cement reduced Al uptake in C-A-S-H and formed hydrotalcite as a secondary phase, which is associated with a reduction in the carbonation degree. In addition, the incorporated MgO inhibited the carbonation of ettringite and monosulfate, while more C-A-S-H and aluminum hydroxide were formed in neat CSA cement upon carbonation, showing the nearly full decomposition of ettringite and monosulfate. The tetrahedral Al network of the MgO-modified sample was not altered upon carbonation, indicating that MgO modified the route of carbonation.