MS HB1603

Authorizes the City of Quitman, Mississippi to impose a special sales tax of up to 1% on gross proceeds from sales and business activities currently taxed at 7% or more under state sales tax law

Requires approval by at least three-fifths (3/5) of qualified voters in a municipal election before the tax can be imposed, with the election to be held within one year of the act's effective date

Restricts use of tax revenue exclusively to infrastructure projects, economic development projects, and related debt service, with funds kept in a separate account from general city funds

Allows the city to incur debt up to an amount serviceable by the special sales tax revenue, with this debt excluded from the city's legal debt limits

Mandates the Mississippi Department of Revenue to collect the tax and remit payments to the city by the 15th of each month, with annual independent audits required for all related receipts and expenditures