MS HB1076

Amends Section 27-65-37 of the Mississippi Code to limit sales tax liability for taxpayers who receive an audit indicating underpayment of taxes.

Taxpayer is not liable for additional taxes owed before the audit date if the two immediately preceding Department of Revenue audits found the taxpayer was properly collecting sales tax in compliance.

The exemption from liability applies only when the same practices or circumstances found to be compliant in previous audits are the basis for the current audit's finding of underpayment.

The exemption does not apply if sales tax statutes were changed since the most recent previous audit in a manner that would make the taxpayer liable for the additional tax.

Takes effect July 1, 2013.