Amazon to begin collecting state tax Feb 1 generating $15-$30 million for Mississippi budget

ACKSON – The decision of internet giant Amazon to voluntarily collect the 7 percent tax for the state on purchases made by Mississippians is welcomed news for many state leaders dealing with revenue shortfalls and budget cuts, but it will not provide any relief for municipal leaders who are facing many of the same problems.

Under current state law, municipalities will not receive a portion of the tax collected by Amazon on sales made to Mississippians. But Ways and Means Chair Jeff Smith, R-Columbus, said he expects legislation to be considered during the 2017 session to provide local governments a share of the windfall.

“That will be considered,” Smith said.



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