MS HB1562

Reduces sales tax rate from 7% to 3.5% on retail sales of food for human consumption not purchased with food stamps, effective July 1, 2023.

Modifies sales tax revenue distribution so that municipalities receive 37% of revenue from the reduced-rate food sales (compared to 18.5% of other sales tax revenue).

Allocates 37% of reduced-rate food sales tax revenue to state institutions of higher learning and community/junior colleges located outside municipal corporate limits.

Directs 12% of reduced-rate food sales tax revenue within Jackson city limits to the Capitol Complex Improvement District Project Fund.

Allocates 4.53% of reduced-rate food sales tax revenue to the School Ad Valorem Tax Reduction Fund and 18.15% to the Education Enhancement Fund.